¥ Benefit transfer is typically less costly
than conducting an original valuation study.
¥ Economic benefits can be estimated more
quickly than when undertaking an original valuation
study.
¥ The method can be used as a screening
technique to determine if a more detailed, original valuation
study should be conducted.
¥ The method can easily and quickly be
applied for making gross estimates of recreational values. The more similar the sites and the recreational experiences,
the fewer biases will result.
Issues and Limitations
¥ Benefit transfer may not be accurate,
except for making gross estimates of recreational values,
unless the sites share all of the site, location, and user specific
characteristics.
¥ Good studies for the policy or issue in
question may not be available.
¥ It may be difficult to track down
appropriate studies, since many are not published.
¥ Reporting of existing studies may be
inadequate to make the needed adjustments.
¥ Adequacy of existing studies may be
difficult to assess.
¥ Extrapolation beyond the range of
characteristics of the initial study is not recommended.
¥ Benefit transfers can only be as
accurate as the initial value estimate.
¥ Unit value estimates can quickly become
dated.