Economics, work and decisions · 1 min read
Water and development mattered more when a price was shown
New Zealand council members chose among hypothetical urban plans. Cultural impacts, described only in words, did not have a consistent effect.
The study, in plain language
The survey presented urban expansion options with effects on development, water quality, and cultural heritage. Local council members and officials were, or were not, shown monetary values for certain effects before choosing.
Showing monetary values strengthened preferences for different levels of development and opposition to worsening water quality. Impacts described only in words, such as cultural effects, did not have a consistent influence. How information was presented changed some choices, all within hypothetical scenarios.
The key idea
An impact with a visible price tended to matter more in the choice. Impacts described only in words did not have a consistent effect.
Something to think about
When you look at a plan for your city, what matters to you beyond what can be expressed in money?
The original study
Non-Market Values in a Cost-Benefit World: Evidence from a Choice Experiment
Source under CC BY 4.0. English adaptation and explanation by PaperFlow, with AI assistance. The text has been reorganized for a general audience; it is not the complete paper and does not imply endorsement by its authors.
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