Public willingness to pay for chemicals regulation policies in South Korea: Insights from socio-economic factors

This study investigates the socio-economic determinants influencing public willingness to pay (WTP) for reducing health risks from phthalate exposure in South Korea. The study focuses on dibutyl phthalate (DBP), benzyl butyl phthalate (BBP), and di-(2-ethylhexyl) phthalate (DEHP) that are currently under regulatory consideration. Using the contingent valuation method, a national survey of 1,000 respondents employed both single-bounded (SBDC) and double-bounded dichotomous choice (DBDC) formats. The estimated mean WTP was 3,400 KRW (2.80 USD) using the SBDC model, closely aligning with theoretical expectations and the open-ended responses, while the DBDC spike model yielded a higher estimate of 6,071 KRW (5.10 USD). Regression analyses identified household income, education level, media exposure, and household size as significant determinants of WTP, indicating that these socio-economic and informational factors positively influence public willingness to financially support chemical risk reduction. Contrary to initial hypotheses, direct chemical exposure and previous harm experiences did not significantly affect WTP. Furthermore, individual income was not a significant factor, indicating that household-level financial decisions more strongly influence public WTP for chemical risk reduction. The results highlight the crucial role of socio-economic status and informational exposure in shaping public support for chemical regulation policies. This study provides foundational empirical data for effective policy design in South Korea, underscoring the importance of targeted informational campaigns and economic considerations to improve public risk perception and policy acceptance. These insights can inform international comparative analyses and help countries develop regulatory frameworks by assessing the economic values associated with chemical risk management.