Is the glass half empty, is the glass half full Compensable damages and the contingent valuation method
- Resource Type
- Journal Article
- Authors
- Source
- Natural Resources Journal; (United States); 34:1
- Subject
- 29 ENERGY PLANNING, POLICY AND ECONOMY DAMAGE
COST ESTIMATION
RESOURCES
ECONOMIC ANALYSIS
ERRORS
LAWSUITS
US DOI
ECONOMICS
NATIONAL ORGANIZATIONS
US ORGANIZATIONS 293000* -- Energy Planning & Policy-- Policy, Legislation, & Regulation
- Language
- English
- ISSN
- 0028-0739
Should CVM values be utilized to determine an award of monetary damages for injuries to a public natural resource Cummings and Harrison's general theme is that the values obtained from CVM and indirect method studies (such as HPM) are sufficiently inaccurate as to be deemed unacceptable in determining compensable damages. The authors' theme is one of tempered optimism not pessimism. More is understood about the process of assigning monetary values than when Robert Davis conducted his pioneering research and there is now better comprehension of the accuracy and the limits of this information. The authors argue that CVM values provide meaningful results and should be used to determine compensable damages. The courts frequently employ value estimates that have considerable variance and have developed the means of dealing with this; the courts will do the same with CVM values.