Abstract

This study examines consumer’s perception of and willingness to pay for society maintenance function of rural area in Korea. For the economic valuation of ‘society maintenance function’, a non-market good, we defined society maintenance function of rural area. We surveyed 2,000 consumers and found that 76.8% of respondents perceive that society maintenance function is worth maintaining and expanding. We also surveyed the willingness- to-pay (WTP) for maintaining and expanding society maintenance function using a multi-alternative question method with the security transaction tax and open-end question method with hometown love donation. 61.3% of the people surveyed said that they are willingness pay additional taxes to maintain and expand society maintenance function. The total amounts of WTP for maintaining and expanding society maintenance function calculated are 1.35 trillion Korean won for security transaction tax and 1.8 trillion won for hometown love donation, respectively.

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