ABSTRACT
Dichotomous choice willingness to pay (WTP) response and recreation trips are the two types of data most commonly collected for non-market valuation. In order to serve different purposes and conserve survey time, most surveys collect one or the other type of data but infrequently collect both. As discussed in Chapter 1, there are advantages of having both. They can be compared to ensure validity of data and they can be used in joint estimation to improve estimation efficiency. A distinct advantage of combining the two types of data, recognized by researchers in recent years, is that together they can be used to recover all parameters in the utility function and help subdivide the estimated total economic value into use and non-use values (e.g. Huang et al. 1997; Eom and Larson 2006). In this chapter, two applications are presented to illustrate a theoretically consistent joint estimation procedure, following Huang et al. (1997), and issues that may arise in combining the two types of data. A study that employs the joint estimation procedure in Eom and Larson (2006) is presented in Chapter 14.
