Avertive expenditure method of valuation
RICS Insight Paper ‘Value of natural capital - the need for chartered surveyors’ published by the Royal Institution of Chartered Surveyors in 2017 suggests the avertive expenditure or avertive behaviour method of valuation is a revealed preference method that draws on the revealed preferences of stakeholders.
The avertive expenditure method considers: ‘how much people spend to compensate themselves for the loss of a resource or facility. Bottled water in preference to piped water is sometimes quoted as an example. Care is needed that not all the extra expenditure is necessarily due to the requirement for compensation. For example, the avertive behaviour associated with living in a dismal environment may consist of lots of visits to country parks, but some of those visits might have happened anyway simply due to the pleasure of visiting the park rather than to escape the dismal environment at home.’
Other revealed preference methods include:
Approaches other than the revealed preference method include:
- Stated preference valuation.
- Value transfer/benefit transfer.
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
Cyber Security in the Built Environment
Protecting projects, data, and digital assets: A CIOB Academy TIS.
Managing competence in the built environment
ITFG publishes new industry guide on how to meet the ICC principles.
The UK's campaign to reduce noise pollution: Mythbusting, articles and topic guides.
Setting Expectations on Competence Management
Industry Competence Committee.
New Scottish and Welsh governments
CIOB stresses importance of construction after new parliament elections.
The sad story of Derby Hippodrome
An historic building left to decay.
ECA, JIB and JTL back Fabian Society call to invest in skills for a stronger built environment workforce.
Women's Contributions to the Built Environment.
Calls for the delayed Circular Economy Strategy
Over 50 leading businesses, trade associations and professional bodies, including CIAT, and UKGBC sign open letter.
The future workforce: culture change and skill
Under the spotlight at UK Construction Week London.
A landmark moment for postmodern heritage.
A safe energy transition – ECA launches a new Charter
Practical policy actions to speed up low carbon adoption while maintaining installation safety and competency.
Frank Duffy: Researcher and Practitioner
Reflections on achievements and relevance to the wider research and practice communities.
The 2026 Compliance Landscape: Fire doors
Why 'Business as Usual' is a Liability.
Cutting construction carbon footprint by caring for soil
Is construction neglecting one of the planet’s most powerful carbon stores and one of our greatest natural climate allies.