How Much is Too Much?

In a split sample design, we examine how the number of choice sets, design of the first choice set (context dependence), and the choice of attribute levels in the cost attribute affect the precision in the elicited preferences in otherwise completely identical choice experiment surveys. These issues are investigated for Swedish households’ marginal willingness to pay to reduce power outages. Our results indicate that neither the number of choice sets nor the design of the first choice set has a significant impact on estimated marginal willingness to pay, while the effect was significant for the additive scaling of the cost vector. At the end of the article we discuss the implications of our results on future developments and applications of choice experiments.      

Does context matter more for hypothetical than for actual contributions? Evidence from a natural field experiment

We investigated the importance of the social context for people’s voluntary contributions to a national park in Costa Rica, using a natural field experiment. Some subjects make actual contributions while others state their hypothetical contribution. Both the degree of anonymity and information provided about the contributions of others influence subject contributions in the hypothesized direction. We found a substantial hypothetical bias with regard to the amount contributed. However, the influence of the social contexts is about the same when the subjects make actual monetary contributions as when they state their hypothetical contributions. Our results have important implications for validity testing of stated preference methods: a comparison between hypothetical and actual behavior should be done for a given social context.      

Maryann Feldman: Recipient of the 2013 Global Award for Entrepreneurship Research

This article reviews the scientific contributions of the 2013 recipient of the Global Award for Entrepreneurship Research, Maryann Feldman, Heninger Distinguished Professor in the Department of Public Policy at the University of North Carolina. Maryann Feldman is well known for her contributions to the study of the geography of innovation. A central focus of her work is on the role of entrepreneurial activity in the formation of regional industry clusters. She has studied entrepreneurial events involving both individuals and teams and the role of knowledge spillovers and finance in geographical clustering. She has also addressed other important aspects of contemporary entrepreneurship research, such as how academic entrepreneurship is influenced by intellectual property rights and modes of finance and how high-technology entrepreneurship aligns with public policy and the geography of innovation. The most significant impact of Maryann Feldman’s scientific output lies in research on firm location, inter-firm knowledge spillovers, and clusters/regional development. Her research addresses macro aspects of industry evolution, micro-level aspects of firm strategy and organization, as well as meso-level aspects of institutions, infrastructures, and policy. The Global Award consists of 100,000 euro and a statuette by the internationally renowned Swedish sculptor Carl Milles.