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Carnarvon Gorge: a comment on the sensitivity of consumer surplus estimation

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  • Chotikapanich, Duangkamon
  • Griffiths, William E.

Abstract

Beal’s (1995) method of estimating the value of Carnarvon Gorge for recreational use is re‐examined. When an inconsistency in her estimation procedure is corrected, the estimated value of Carnarvon Gorge for camping is found to be six times higher. The sensitivity of the estimate to the choice of functional form is examined, and standard errors and interval estimates for consumer surplus are provided. Comments are made about functional form choice and prediction in log‐log models.

Suggested Citation

  • Chotikapanich, Duangkamon & Griffiths, William E., 1998. "Carnarvon Gorge: a comment on the sensitivity of consumer surplus estimation," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 42(3), pages 1-13.
    • Handle: RePEc:ags:aareaj:117233
    DOI: 10.22004/ag.econ.117233
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    References listed on IDEAS

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    1. Catherine L. Kling, 1988. "The Reliability of Estimates of Environmental Benefits from Recreation Demand Models," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(4), pages 892-901.
    2. John Geweke, 1999. "Using simulation methods for bayesian econometric models: inference, development,and communication," Econometric Reviews, Taylor & Francis Journals, vol. 18(1), pages 1-73.
    3. Michael D. Creel, 1997. "Welfare Estimation Using The Fourier Form: Simulation Evidence For The Recreation Demand Case," The Review of Economics and Statistics, MIT Press, vol. 79(1), pages 88-94, February.
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    7. Beal, Diana J., 1995. "A Travel Cost Analysis of the Value of Carnarvon Gorge National Park for Recreational Use," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 63(02), pages 1-12, August.
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    Cited by:

    1. Jeff Bennett, 2005. "Australasian environmental economics: contributions, conflicts and ‘cop‐outs’," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 49(3), pages 243-261, September.
    2. de Frutos, Pablo & Rodríguez-Prado, Beatriz & Latorre, Joaquín & Martínez-Peña, Fernando, 2019. "Environmental valuation and management of wild edible mushroom picking in Spain," Forest Policy and Economics, Elsevier, vol. 100(C), pages 177-187.
    3. Nicola Lansdell & Lata Gangadharan, 2003. "Comparing Travel Cost Models And The Precision Of Their Consumer Surplus Estimates: Albert Park And Maroondah Reservoir," Australian Economic Papers, Wiley Blackwell, vol. 42(4), pages 399-417, December.
    4. Wilson, Matthew A. & Hoehn, John P., 2006. "Valuing environmental goods and services using benefit transfer: The state-of-the art and science," Ecological Economics, Elsevier, vol. 60(2), pages 335-342, December.
    5. Muhammad Rafiq & Shafiqullah, 2007. "Demand Analysis of Recreation Visits to Chitral Valley: A Natural Resource Management Perspective," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(4), pages 971-984.
    6. Read, Michael & Sinden, Jack A. & Branson, Jane & Sturgess, Neil H., 1999. "Recreational use values for Victoria’s Parks," 1999 Conference (43th), January 20-22, 1999, Christchurch, New Zealand 124541, Australian Agricultural and Resource Economics Society.
    7. Jones, Thomas E. & Yang, Yang & Yamamoto, Kiyotatsu, 2017. "Assessing the recreational value of world heritage site inscription: A longitudinal travel cost analysis of Mount Fuji climbers," Tourism Management, Elsevier, vol. 60(C), pages 67-78.
    8. Saúl Torres-Ortega & Rubén Pérez-Álvarez & Pedro Díaz-Simal & Julio Manuel De Luis-Ruiz & Felipe Piña-García, 2018. "Economic Valuation of Cultural Heritage: Application of Travel Cost Method to the National Museum and Research Center of Altamira," Sustainability, MDPI, vol. 10(7), pages 1-13, July.

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