HOW PRECISE ARE MONETARY REPRESENTATIONS OF ENVIRONMENTAL IMPROVEMENTS

Subjects valued environmental goods using a response mode expressing w illingness to pay as a multiplier or divider of a purported ''budgetar y unit.'' Hypothetical willingness to pay was found to be highly depen dent on the size of the budgetary unit. Rejecting two other interpreta tions, we believe the results suggest that people's contingent values are only vaguely represented in monetary terms; any dollar amount with in a broad range is considered an acceptable expression of value. Alth ough the procedures differ from those of a typical contingent valuatio n survey the results demonstrate some of the difficulties in discoveri ng precise monetary values for environmental re sources. (JEL Q21)