Citizen Advisory Committees: A Tool to Remedy the Shortcomings of the Contingent Valuation Method Within the System of Multi-Level Governance

The Contingent Valuation Method (CVM) is an economic analysis tool used to measure the utility of producing of public goods, based upon individual’s declared preferences. The public decision-maker is thus able to arbitrate between the expenditure to be made. The approach has been deployed in a centralist conceptual plan, leaving little room for citizens in the decision-making process and it has been undermined by the rise in power, notably in Europe, of multi-level governance. The decision-maker is no longer alone in this process and public decision-making must operate on the basis of common views adopted by various levels of government that should also establish much stronger links with the citizen-users of public goods. This article analyzes the operational impact of Citizen Advisory Committees (CAC) as participative tools of CVM that result in an effective cooperation between the various public actors and the civil society in public decision-making.