BC3-UPV/EHU Seminars: Convergence validity between revealed and stated recreation demand data: some empirical evidence

BC3-UPV/EHU Seminars
“Convergence validity between revealed and stated recreation demand data: some empirical evidence”

David Hoyos

Researcher from the ENVIRONMENTAL ECONOMICS UNIT of the UNIVERSITY OF THE BASQUE COUNTRY (UPV-EHU)

Abstract

In a travel cost exercise, reported past visits to mount Jaizkibel, a natural area located in the Basque Country, are compared for convergence validity to stated intended future trips under the assumption that the natural resource’s conditions will remain the same. In line with the results obtained by other studies, the empirical evidence of this application suggests that revealed preference (RP) and stated preference (SP) data do not produce consistent data, i.e. do not achieve convergent validity. The paper attempts to update the convergence validity literature in continuous-choice studies by taking advantage of the recent developments in parametric estimation models for recreation data. Difference in welfare estimates is tested using a convolution method.