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Abstract

The potential sensitivity of environmental resource valuation to payment vehicles is of interest to researchers and decision-makers involved in estimating and applying these numbers. A conceptual model is developed which provides insight into how the different payment vehicles of a special tax and a tax reallocation affects the willingness to pay (WTP) for environmental goods. Hypothesis testing using contingent valuation data suggests WTP with a tax reallocation is higher than WTP with a special tax for ground water quality protection in Georgia and Maine.

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