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Searching for a Model of Multiple-Site Recreation Demand that Admits Interior and Boundary Solutions

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  • Edward R. Morey
  • Donald Waldman
  • Djeto Assane
  • Douglass Shaw

Abstract

For most recreation demand data sets, different individuals visit different subsets of the available sites. Interior solutions (i.e, individuals who visit all recreational sites) are not the norm. Boundary solutions (i.e., individuals who do not participate, or who visit some, but not all, of the sites) predominate. We critique eight demand models in terms of their ability to accommodate boundary solutions. Three models are recommended for consideration when there are multiple sites and the data set includes a significant number of boundary solutions: a repeated nested-logit model, a multinomial share model, and a Kuhn-Tucker model.

Suggested Citation

  • Edward R. Morey & Donald Waldman & Djeto Assane & Douglass Shaw, 1995. "Searching for a Model of Multiple-Site Recreation Demand that Admits Interior and Boundary Solutions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(1), pages 129-140.
    • Handle: RePEc:oup:ajagec:v:77:y:1995:i:1:p:129-140.
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    Cited by:

    1. Shonkwiler, John Scott & Shaw, W. Douglass, 1996. "Hurdle Count-Data Models In Recreation Demand Analysis," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(2), pages 1-10, December.
    2. Phaneuf, Daniel J., 1999. "A Dual Approach to Modeling Corner Solutions in Recreation Demand," Journal of Environmental Economics and Management, Elsevier, vol. 37(1), pages 85-105, January.
    3. John Mullahy, 2010. "Multivariate Fractional Regression Estimation of Econometric Share Models," NBER Working Papers 16354, National Bureau of Economic Research, Inc.
    4. Phaneuf, Daniel James, 1997. "Generalized corner solution models in recreation demand," ISU General Staff Papers 1997010108000013022, Iowa State University, Department of Economics.
    5. Mullahy John, 2015. "Multivariate Fractional Regression Estimation of Econometric Share Models," Journal of Econometric Methods, De Gruyter, vol. 4(1), pages 1-30, January.
    6. Phaneuf, Daniel J. & Smith, V. Kerry, 2006. "Recreation Demand Models," Handbook of Environmental Economics, in: K. G. Mäler & J. R. Vincent (ed.), Handbook of Environmental Economics, edition 1, volume 2, chapter 15, pages 671-761, Elsevier.

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