Increasing the willingness to pay and non-monetary subjective valuation for a solution to the pollution in Rotterdam;

This paper focuses on the anchoring and adjustment bias, and its use in the valuation of environmental issues. Specifically, it will focus on people’s willingness to pay as well as their non-monetary subjective valuation for a solution to the pollution problem and how this can be affected by the anchoring and adjustment bias. Then, it investigates which of the two is more prone to the anchoring and adjustment bias. Although much research is done about the effect of the anchoring bias on consumers’ Willingness to Pay (WTP) only little research is done about the effect on people’s WTP of environmental issues. Even fewer research is done about the anchoring effect on the non-monetary value people place on solutions to environmental issues. This research could be used by environmental organizations to increase their donations, and to attract people’s attention to the significance of the problem by using the anchoring effect in the most effective way. This report is an attempt to extend the current research field and open a new research field by comparing the anchoring effects on different ways to measure people’s involvement in environmental issues.