• Journal of agriculture & life science
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• v.44 no.3
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• pp.89-97
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• 2010

In the contingent valuation method (CVM) survey, we employed double-bounded discrete choice (DBDC) question to investigate the willingness to pay (WTP). The estimation results for the bivariate logit model show that respondents are willing to pay 329,256 won per year. The model with covariate variables suggests that the covariate effects help describe behavioral or preference tendencies. Double-bounded models increase efficiency over single dichotomous choice models, because the answers yes-no or no-yes yield clear bounds on WTP.

• Environmental and Resource Economics Review
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• v.12 no.4
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• pp.545-557
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• 2003

A new semiparametric estimator of a dichotomous choice contingent valuation model is proposed by adapting the well-known density weighted average derivative of the regression function. A small sample behavior of the estimator is demonstrated very briefly by a simulation and the estimator is applied to estimate the WTP for preserving the Dong River area in Korea.

• Asia pacific journal of information systems
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• v.13 no.2
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• pp.87-104
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• 2003

Though much attention has been paid to offer various multimedia services by many online service providers, the study on consumer behavior of online information service users are yet to be further explored in various aspects. This study develops a mathematical model for analyzing online consumer's usage patterns, contrasted to the existing media selection theory and flow concept about usage behavior of information services. We demonstrated using some case examples that online information consumption can be viewed not only as a cognitive behavior interacting with online media, but also as an economically rational behavior depending on consumer's perceived cost and time spending. The results obtained in this paper will surely serve as a theoretical foundation for justifying the consumer's behavior and WTP (willingness to pay) for various online contents consumption empirically.

• Journal of Korean Society of Rural Planning
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• v.13 no.4
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• pp.1-8
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• 2007

The dichotomous-choice contingent valuation method is applied to estimate the landscape value of Jeju Island's stonewall fencing farming land. A distribution-free approach, Turnbull empirical distribution model, is employed to solve negative willingness to pay and truncation problems. The data used are collected from the interviews with tourist about willingness-to-pay at the various donation amount levels of Jeju stonewall's landscape value. The evaluation result is shown that the average amount of willingness to pay for the Jeju stonewall fencing farming land is 3,001 won per meter with standard deviation of 511.0 won/m.

• Environmental and Resource Economics Review
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• v.29 no.3
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• pp.335-362
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• 2020

Using the Hedonic pricing model using Box-Cox transformation, this paper estimated the marginal effect (implicit price) of odors from landfill in the metropolitan area on housing prices and the willingness to pay for changes in certain odor conditions. This paper utilized the proximity from the landfill in the metropolitan area as a environmental variable, and analyzed the effect of various housing characteristic variables on the sale price of apartments within a radius of 5 km from the landfill. In particular, because odors factor have various heterogeneity, we applied hedonic price models instead of stated-preference methods with various types of functional forms through Box-Cox transformation, considering the heterogeneity of each region. Estimates show that the marginal value (implicit price) for the distance from the odor source was 0.227 to 0.533 depending on the function type of the estimated model. In addition, when other house factors are the same, the marginal willingness to pay for a distance of 1km from the odor source was calculated to be 16.79 to 51.76 thousand dollar depending on the type of function. Finally for the general Box-Cox model, the annual WTP was estimated to be 3,229dollar.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.19 no.5
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• pp.389-398
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• 2018

An MRA is considered to be an important policy tool within the WTO for overcoming technical barriers to trade. A number of studies on the economic impact of MRAs have demonstrated their positive economic effects. However, no studies have been conducted on MRAs in the pharmaceutical industry since analysis has been limited to industries as a whole or certain industries where some data were accumulated. Therefore, this paper analyzed the economic impact of MRAs for GMP inspection exemption in the pharmaceutical industry through the Conditional Valuation Method (CVM), a valuation technique for non-market goods. Pharmaceutical companies were asked whether or not they were willing to pay for the Korea-EFTA MRA through double-bounded dichotomous choice (DBDC) questions. The final WTP was estimated using the utility difference model developed by Hanemann (1984). As a result, annual economic effects on the pharmaceutical industry were estimated to be between KRW7.03 billion to KRW15.8 billion.

• Journal of Korean Society of Transportation
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• v.29 no.3
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• pp.61-72
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• 2011

In the benefits of ITS, there are intangible gains from real-time traffic information as well as classical gains such as travel time saving. These intangible gains are difficult to be estimated by existing transportation investment appraisal commonly used in SOC investment. The major reason is not because of the absence of methodology but because of the absence of generalized values of particular benefits from real time traffic information. This research explores the value of real-time traffic information on VMS that is the most representative of ITS services, by using CVM with Double Bounded Dichotomous Choice Question. Willingness-To-Pay (WTP) functions of drivers are built with survival functions using various types of probability distribution functions such as Exponential, Log-logistic, and Weibull functions. The results reveal that Log-logistic distribution is the most appropriate distribution model to estimate WTP, and the estimated coefficients are stable through LR (Likelihood Ratio) test. For the further study, it is recommended to perform statistical tests of temporal and spatial transferability that is not examined in this research due to the lack of data.

• Environmental and Resource Economics Review
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• v.13 no.3
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• pp.337-366
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• 2004

Contingent Valuation Method (CVM), as non-market valuation approach, has been criticized on that respondents may not realistically reflect their budget constraints in answering willingness to pay (WTP) for hypothetical CV questions. This paper empirically estimates the income calibration factor associated with CV responses through combining travel cost method and contingent valuation method in a utility-theoretic framework. The joint model of recreation demand function and contingent WTP function was applied to an important case study on the Man Kyoung River system, whose water quality is at issue because of the Sae Alan Kum reclamation project. Relevant economic variables such as price, income and water quality had significant influence as anticipated by the economic theory. Equally important, the income calibration factor was not significantly different from one, suggesting that the systematic discrepancies of CV responses relative to the actual behavior was not detected at least in terms of budget exaggeration. Overall, this study supports the notion that carefully designed CVM studies can provide informative data on individuals' willingness to pay for environmental quality changes.

• The Journal of the Korea Contents Association
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• v.11 no.6
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• pp.438-448
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• 2011

The purpose of this paper is to enrich storytelling contents for culture and tourism industry and provide the implication for carrying out governmental policy by estimating economic value of storytelling using a Contingent Valuation Method. The empirical result shows that the economic value of storytelling development in culture and tourism industry is annually estimated 16,000 won per person, resulting from logit model and WTP mean method. The willingness-to-pay, degree of support and perception of the policy and culture contents expenditure have meaningful effects on probability of supporting and participating in execution of the policy. The findings imply that the economic value of storytelling development highly increases as the interest and expenditure of culture contents increase. Futhermore, informing storytelling related policy and business to the people will increase economic value of fostering storytelling-based culture and tourism.

• Journal of Korean Society of Transportation
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• v.30 no.4
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• pp.7-19
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• 2012

In this study of estimating the benefits of environmental materials, the CVM method used in environmental economics was applied to estimate the value of pedestrian environment improvement. After finding the Willingness To Pay (WTP) level of residents through CVM, this study attempts to calculate quantitative benefits from the pedestrian environment improvement. In this study, a survey targeting the inhabitants in Seongbuk-gu adjacent to a business area was carried out for pedestrian environment improvement considering form of payment, willingness to pay and such by establishing and showing several virtual scenarios depicting a quiet and comfortable pedestrian environment. As a result, the willingness to pay level of the Seongbuk-gu residents was 627 won of surcharge for pedestrian environment improvement per month. Additionally, the annual total benefits by pedestrian environment improvement was estimated within a range from 1,247,516,820 won to 286,305,110 won.