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Contingent Valuation and Random Utility Model Estimates of the Recreational Value of King Mackerel

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Author Info
John C. Whitehead

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Abstract

This paper estimates the value of king mackerel bag limit changes with both stated and revealed preference methods. The 1997 Marine Recreational Fishery Statistical Survey allows estimation of the value of avoiding bag limit reductions with the random utility model and the contingent valuation method. Using the contingent valuation method, the willingness to pay to avoid a one fish reduction in the bag limit is $2.45 per year. Using the random utility model, the willingness to pay to avoid a one fish reduction in the bag limit for a two-month time period is $10.83. Considering several methodological issues, the difference in willingness to pay between the stated and revealed preference methods is in the expected direction.

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File URL: http://econ.appstate.edu/RePEc/pdf/wp0508.pdf
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Publisher Info
Paper provided by Department of Economics, Appalachian State University in its series Working Papers with number 05-08.

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Date of creation: 2005
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Handle: RePEc:apl:wpaper:05-08

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Web page: http://www.business.appstate.edu/departments/economics/
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Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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  1. McConnell, Kenneth E. & Strand, Ivar E. & Blake-Hedges, Lynne, 1995. "Random Utility Models of Recreational Fishing: Catching Fish Using a Poisson Process," Marine Resource Economics, Marine Resources Foundation, vol. 10(3). [Downloadable!]
  2. Schuhmann, Peter W., 1998. "Deriving Species-Specific Benefits Measures For Expected Catch Improvements In A Random Utility Framework," Marine Resource Economics, Marine Resources Foundation, vol. 13(1). [Downloadable!]
  3. Hicks, Robert L. & Gautam, Amy B. & van Voorhees, David & Osborn, Maury & Gentner, Brad, 1999. "An Introduction To The Nmfs Marine Recreational Fisheries Statistics Survey With An Emphasis On Economic Valuation," Marine Resource Economics, Marine Resources Foundation, vol. 14(4). [Downloadable!]
  4. Richard Carson & Theodore Groves, 2007. "Incentive and informational properties of preference questions," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 37(1), pages 181-210, May. [Downloadable!] (restricted)
  5. Hoehn, John P. & Randall, Alan, 1987. "A satisfactory benefit cost indicator from contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 14(3), pages 226-247, September. [Downloadable!] (restricted)
  6. Carson, Richard & Hanemann, Michael & Steinberg, Dan, 1990. "A discrete choice contingent valuation estimate of the value of Kenai King salmon," Journal of Behavioral Economics, Elsevier, vol. 19(1), pages 53-68. [Downloadable!] (restricted)
  7. Freeman, A. Myrick, III, 1995. "The Benefits Of Water Quality Improvement For Marine Recreation: A Review Of The Empirical Evidence," Marine Resource Economics, Marine Resources Foundation, vol. 10(4). [Downloadable!]
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