Research Project "Measuring Willingness to Pay by Means of the Trade-off between Free Available Cash and Specific-Purpose Vouchers"
Primarily because of the hypothetical character of interview situations, respondents are often unable to state their true willingness to pay (WTP). We propose a new method for measuring WTP based on disposable cash and specific-purpose vouchers that are earmarked for particular goods that, contrary to incentive-compatible methods, can be used only for hypothetical products and services that are less affected by the hypothetical bias.