Strategic overbidding in contingent valuation: stated economic value of public goods varies according to consumer expectations of funding source

Article Abstract:

Support for the theory that consumers use strategic overbidding in cases where the cost of the provision of the service or good is shouldered by an agent other than the consumer was shown by the response of college students to a proposal wherein building improvements were to be effected based either on the premise that the students provide for the improvements through raises in tuition or that the college provide for the improvements. The willingness to pay indexes of the students were higher upon the knowledge that they will not shoulder the expenses.

Consumer Behavior, Value (Economics)

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Welfare fraud and welfare stigma

Article Abstract:

A model of participants' take-up of welfare benefits is developed using welfare fraud and welfare stigma as reference points. Results of the model showed stigma as the significant factor that determines participation in a welfare program, underscoring the effects of informal controls, even under conditions of differing stigma perception and honesty characteristics of participants. The result implies that informal controls can be used in the formulation of effective screening strategies to ensure that the qualified needy enters the welfare program.

Administration of Human Resource Programs (except Education, Public Health, and Veterans' Affairs Programs), Income Security, Analysis, Welfare recipients, Domestic economic assistance, Welfare, Public assistance, Welfare fraud, Welfare economics

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