Document Type

Article

Publication Version

Published Version

Publication Date

2000

Journal or Book Title

Review of Economics and Statistics

Volume

82

Issue

1

First Page or Article ID Number

83

Last Page

92

DOI

10.1162/003465300558650

Abstract

The Kuhn-Tucker model of Wales and Woodland (1983) provides a utility theoretic framework for estimating preferences over commodities for which individuals choose not to consume one or more of the goods. Due to the complexity of the model, however, there have been few applications in the literature and little attention has been paid to the problems of welfare analysis within the Kuhn-Tucker framework. This paper provides an application of the model to the problem of recreation demand. In addition, we develop and apply a methodology for estimating compensating variation, relying on Monte Carlo integration to derive expected welfare changes.

Comments

This article is from Review of Economics and Statistics 82 (2006): 83, doi:10.1162/003465300558650. Posted with permission.

Copyright Owner

MIT Press

Language

en

File Format

application/pdf

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