All of the Following Are Examples of Revealed Preference Methods

question 25

Multiple Choice

All of the following are examples of revealed preference methods that have been used to estimate the value of environmental quality except _________________.

• A) travel costs
• B) intercity wage differentials
• C) contingent valuation
• D) housing costs

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Definitions:

Willingness To Pay

The maximum amount an individual is ready to spend for a good or service.

Revenue

The total amount of money earned by a business from its operations, including sales of goods and services, before any deductions are made.

Probability

A measure of the likelihood or chance of a specific event occurring, often expressed as a number between 0 and 1.

English Auction

A bidding process where participants publicly offer progressively higher prices until the highest bidder wins, typically used for selling goods or services.