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Valuing Impacts from Observed Behavior: Indirect Market Methods

This document examines various indirect market methods for evaluating impacts on behavior, with specific emphasis on demand analysis. It includes visual representations such as the decision tree for airbag purchases, multiple demand curves for recreational visits, and the hedonic price method. Key figures illustrate the market demand derived from the zonal travel cost method and analyze the economic effects of environmental changes, such as ordinances reducing smog. The insights provided help in understanding consumer behavior and economic evaluations in recreational and environmental contexts.

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Valuing Impacts from Observed Behavior: Indirect Market Methods

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  1. Fourteen Valuing Impacts from Observed Behavior: Indirect Market Methods

  2. Figure 14-1Demand Curve for Visits to a Municipal Swimming Pool

  3. Figure 14-2Decision Tree for Airbag Purchase

  4. Figure 14-3The Hedonic Price Method

  5. Figure 14-4“Representative” Individual’s Inverse Demand Curve for Visits to a Recreational Area as a Function of Total Cost per Visit

  6. Figure 14-5The Market Demand Curve for a Recreational Site Derived Using the Zonal Travel Cost Method

  7. Figure 14-6The Effect of an Ordinance Reducing Smog on Expenditures for Window Cleaning

  8. EXHIBIT 14-5 (continued)

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