In a certain city, the government is considering acquiring some land and turning it into a park (without any fences or gates). In an attempt to determine the extent to which residents of the city would value the park, residents are asked to fill out a questionnaire. Which of the following is correct?
A)On the questionnaire, some residents are likely to exaggerate the value they associate with the park.
B)On the questionnaire, some residents are likely to exaggerate the costs they associate with the park.
C)The use of such a questionnaire in cost-benefit analysis is likely to produce only rough approximations of residents' perceptions of the costs and benefits of a park.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

A) Some residents may exaggerate the value they associate with the park because they want to support the initiative, or they might think it will increase their property value.
B) Some residents may exaggerate the costs they associate with the park because they might be concerned about increased traffic, noise pollution, or decreased property value.
C) Even if the questionnaire is well-designed, it is still likely to produce only rough approximations of residents' perceptions of the costs and benefits of a park. This is because people may have different preferences, values, and expectations about what a park should offer, and they may have different levels of knowledge about the costs and benefits. Therefore, it is important to interpret the results cautiously and complement them with other data sources and analytical methods.

In a Certain City, the Government Is Considering Acquiring Some