Table 31: Relative Merits of Approaches to Assessing Total Value RP SP SWB Deliberative Theory of Preference Preference Mental state Flexible (Including satisfaction value satisfaction rights based and rules based) Measurement Choice in Choice in Regression of Deliberative approach actual hypothetical wellbeing research elicit market. e.g. market. e.g. survey data with informed views e.g. demand CV survey outcomes. deliberative estimation method workshops ,hedonic pricing Most useful Captures In principle In principle can Insight into citizens’ for measuring private value can measure measure all aspects views on policy to users of all aspects of of total value, but choices esp. initial service. total value application to Identification of Does not values usually potential sources of capture limited by data BSV private external value or BSV Key No reliance on Allows respondents advantages hypothetical survey to provide approach method that is and does not considered and rather than highly flexible assume rationality well-informed view survey .Applicable to on complex issues future changes Key problems Limited Hypothetical, Limited applicability Limited scalability. applicability, framing, to future changes esp., to focusing bias Subjectivity, ‘leading Inability to identify the future witness’ Preference impact of policy on changes due instability SWB to lack of existing Questionable markets measure of money equivalent of a Does not change in SWB capture or social value
Table 31: Relative Merits of Approaches to Assessing Total Value RP SP SWB Deliberative Theory of value Preference satisfaction Preference satisfaction Mental state Flexible (Including rights based and rules based) Measurement approach Choice in actual market. e.g. demand estimation ,hedonic pricing Choice in hypothetical market. e.g. CV survey method Regression of wellbeing survey data with outcomes. Deliberative research elicit informed views e.g. deliberative workshops Most useful for measuring Captures private value to users of service. Does not capture private external value or BSV In principle can measure all aspects of total value In principle can measure all aspects of total value, but application to values usually limited by data Insight into citizens’ views on policy choices esp. initial Identification of potential sources of BSV Key advantages approach rather than survey method that is highly flexible .Applicable to future changes No reliance on hypothetical survey and does not assume rationality Allows respondents to provide considered and well-informed view on complex issues Key problems Limited applicability, esp., to future changes due to lack of existing markets Does not capture or social value Hypothetical, framing, focusing bias Preference instability Limited applicability to future changes Inability to identify impact of policy on SWB Questionable measure of money equivalent of a change in SWB Limited scalability. Subjectivity, ‘leading the witness’
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