John M. Halstead

An Hedonic Analysis of the Effects of Lake Water Clarity on New Hampshire Lakefront Properties

Policy makers often face the problem of evaluating how water quality affects a regions economic well-being. Using water clarity as a measure of the degree of eutrophication levels (as a lake becomes inundated with nutrients, water clarity decreases markedly), analysis is performed on sales data collected over a six-year period. Our results indicate that water clarity has a significant effect on prices paid for residential properties. Effects of a one-meter change in clarity on property value are also estimated for an average lake in four real estate market areas in New Hampshire, with effects differing substantially by area. Our findings provide state and local policy makers a measure of the cost of water quality degradation as measured by changes in water clarity, and demonstrate that protecting water quality may have a positive effect on property tax revenues.

Use of the tobit model in contingent valuation: Experimental evidence from the Pemigewasset Wilderness Area

Two statistical techniques commonly used in contingent valuation studies—ordinary least squares estimation and Tobit analysis—are compared using the data obtained from a 1989 survey of users of the Pemigewasset Wilderness Area in New Hampshire. Parameter estimates are contrasted for differences insign, size and significance. An examination of zero bids is also conducted, and inferences are drawn as to which analytical technique is preferred. Results indicate that coefficient values estimated using Tobit analysis may differ substantially from those estimated using OLS. In addition, the direction of this difference in coefficient values is not consistent. Since Tobit analysis is the more theoretically correct method for willingness-to-pay (WTP) data sets with large numbers of zero bids, past research conduced using least squares analysis may have provided incorrect estimates of coefficients for explanatory variables. Tobit also allows decomposition of the data set to examine more closely the effects of the independent variables on current non-zero WTP bidders, and estimates the probability of zero bidders changing to positive bids based on changes in the independent varaibles. However, extra care must be taken in culling protest bids from the sample. Results of this study indicate that users of the Pemigewasset Wilderness Area are willing to pay between

PUBLIC INFRASTRUCTURE IN ECONOMIC DEVELOPMENT AND GROWTH: EVIDENCE FROM RURAL MANUFACTURERS

4·82 and

Factors Influencing the Willingness to Pay for Coastal Beach Protection

5·65 per trip to the area. Variables which tend to affect these bids most strongly are the probability of returning to the area and the importance of a primitive camping experience.

Managing Municipal Solid Waste with Unit-Based Pricing: Policy Effects and Responsiveness to Pricing

The role of public infrastructure in economic development and growth is examined and reported here. Specific attention is paid to the importance of infrastructure to small rural manufacturing firms in upper New England and Wisconsin. Study results suggest that while infrastructure is important to small manufacturing firms, other community attributes such as overall community attitudes toward change and the underlying forces of firm start-ups are more important. While adequate investments in infrastructure may be necessary for economic development and growth, it is not sufficient.

AN EXAMINATION OF THE NIMBY SYNDROME: WHY NOT IN MY BACKYARD?

Abstract This study examines coastal beach visitors ‘ willingness to pay for a beach erosion control program. A Tobit model was developed utilizing survey data obtained from recreational beach users at Maine and New Hampshire beaches. The number of years visiting a particular beach, income level, familiarity with beach protective laws, respondents’ state of residence, and the presence of sand dunes were found to be statistically significant in influencing a beach users’ willingness to pay for coastal beach protection. The implications of these findings for beach erosion control programs are discussed.

Public-Private Partnerships and Cooperative Agreements in Municipal Service Delivery

Many municipalities across the United States have turned to unit based pricing—also known as pay as you throw (PAYT)—as a vehicle for reducing municipal solid waste generation, increasing recycling, and promoting equity in paying for the service. In this paper, we reevaluate the standard analytical methods used to examine the impact of PAYT in the literature and illustrate that econometric shortcomings may have led to underestimation of policy effects. A two-tier analytical approach to examining PAYT program effects is proposed and is demonstrated in a case study of New Hampshire municipalities. (JEL O18, Q58)

Factors influencing resident attitudes regarding the land application of biosolids

Logit analysis of New Hampshire survey data indicates “NIMBY” (not in my backyard) beliefs over solid waste management facilities is primarily motivated by concerns for childrens health. Respondents willing to host a local recycling center or viewing recycling as a short-lived phenomenon are less likely to exhibit NIMBY attitudes. Results indicate NIMBYs are not a homogeneous group.

Information as a management tool: an evaluation of the Pemigewasset Wilderness management plan.

Abstract This study uses quantitative and qualitative survey data on the use of public-private partnership in provision and production of public services by municipalities in predominantly rural New Hampshire (USA). Descriptive analysis suggests that town officials are less satisfied with the quality of privatized services, suggesting that privatization involves some tradeoff between costs and quality. These results differ from the experiences of large metropolitan areas and suggest that conclusions of previous research do not necessarily generalize to the challenges faced by small rural communities. Statistical analysis confirms that available fiscal health, geography, and voting patterns are linked to privatization decisions.

Sustaining and enhancing local and organic agriculture: assessing consumer issues in New Hampshire

Residential household owners were surveyed in two different New Hampshire communities that varied in terms of population size, degree of rurality, and per capita income, each with no activities in land application of biosolids. Logit models were developed and logistic regression analyses were carried out for each community. The empirical results suggest that the perception by residents of the potential economic benefits and negative impacts from land application of biosolids can be very influential in achieving public acceptance. From a policymakers viewpoint, this suggests the need for sound educational programs that explicitly describe the economic benefits, negative impacts, and potential risks that typically occur with land application of biosolids. Supportive studies are needed to complement the educational programs. These measures will allow residents to weigh the relative benefits and costs to determine their positions on this approach to management of biosolids and to discount emotional judgements and misinformation. The media needs to ensure that newspaper, magazine, and television reports are accurate and taken from reliable sources. Survey results suggest that the less volume of information presented by the media, the more supportive residents are of land application. Therefore, with such sensitivity by respondents to quantity of information, it is imperative that media outlets place high priority on the quality and accuracy of materials presented. Socioeconomic characteristics of the respondents did not influence attitudes toward acceptance or rejection of biosolids application, thus eliminating the difficulty that social stratification could cause in achieving acceptance.