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Encyclopedia of Law and Economics pp 1–5Cite as

Non-market Valuation

Definition

Non-Market valuation is a set of techniques that aims at reflecting the economic value of changes, in the availability or quality, of goods and services that are not intended to be traded in the market (e.g., health care, education, environment). The objective is to estimate the impacts of these changes on one’s utility and by extension on the social welfare, in order to manage these goods and services by considering their true value to society.

Economic Values

In a neoclassical perspective, goods and services are valued in a utilitarian framework, i.e., individuals are rational, have various categories of desires and wishes (e.g., food, housing clothes…), and are able to classify them according to their preferences. They aim at reaching a maximum level of individual welfare according to their income constraint (utility maximization under budget constraint). Moreover, individuals are able to value the impact of an additional unit of good on their own welfare, which is...

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Author information

Authors and Affiliations

  1. Department of Economics, CEE-M, Université Montpellier, CNRS, INRA, SupAgro, Université Paul Valéry Montpellier 3, Montpellier, France

    Sébastien Roussel

  2. BETA, Université Lorraine, INRA, AgroParisTech, Nancy, France

    Léa Tardieu

Authors
  1. Sébastien Roussel
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  2. Léa Tardieu
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Corresponding author

Correspondence to Sébastien Roussel .

Editor information

Editors and Affiliations

  1. Montpellier, France

    Alain Marciano

  2. Dept DiGSPES, Univ del Piemonte Orientale Dept DiGSPES, Alessandria, Italy

    Giovanni Battista Ramello

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Roussel, S., Tardieu, L. (2018). Non-market Valuation. In: Marciano, A., Ramello, G. (eds) Encyclopedia of Law and Economics. Springer, New York, NY. https://doi.org/10.1007/978-1-4614-7883-6_712-1

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  • DOI: https://doi.org/10.1007/978-1-4614-7883-6_712-1

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  • Publisher Name: Springer, New York, NY

  • Print ISBN: 978-1-4614-7883-6

  • Online ISBN: 978-1-4614-7883-6

  • eBook Packages: Springer Reference Economics and FinanceReference Module Humanities and Social SciencesReference Module Business, Economics and Social Sciences

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Chapter history

  1. Latest

    Non-market Valuation
    Published:
    01 September 2020

    DOI: https://doi.org/10.1007/978-1-4614-7883-6_712-2

  2. Original

    Non-market Valuation
    Published:
    14 July 2018

    DOI: https://doi.org/10.1007/978-1-4614-7883-6_712-1

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