MEASURING NONUSE VALUE OF ENVIRONMENTAL GOODS USING THE CONTINGENT VALUATION METHOD - PROBLEMS OF INFORMATION AND COGNITION AND THE APPLICATION OF COGNITIVE QUESTIONNAIRE DESIGN METHODS

Much interest now focuses on the use of the Contingent Valuation Metho d (CVM) to assess non-use value of environmental goods. The paper revi ews recent literature and highlights particular problems of informatio n provision and respondent knowledge, comprehension and cognition. The se must be dealt with by economists in designing CVM surveys for elici ting non-use values. Cognitive Questionnaire Design Methods are presen ted which invoke concepts from psychology and tools from cognitive sur vey design (focus groups and verbal reports) to reduce a complex envir onmental good into a meaningful commodity that can be valued by respon dents in a contingent market. This process is illustrated with example s from the authors' own research valuing alternative afforestation pro grammes.