Paper Abstract
295. Wesley A. Magat, Joel Huber, W. Kip Viscusi, An Iterative Choice Approach to Valuing Clean Lakes, Rivers, and Streams, 08/2000; subsequently published in Journal of Risk and Uncertainty, Vol. 21, No. 1, 2000, 7-43.
Abstract: This article introduces an iterative choice procedure for valuing inland water quality. This approach breaks up the valuation into a series of component tasks. The water quality ladder approach is not valid empirically. Consequently, respondents in Colorado and North Carolina assessed the value of making water quality rated "good" by EPA, which has a value of $22.40 per additional percent improvement. Nonuse and probabilistic use are highly valued. The results also indicate how water quality valuations differ for aquatic environment, edible fish, and swimming, as well as for water that is cloudy, smelly, or polluted by toxics. Minorities are particularly likely to rely upon monitorable water quality attributes.