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Distributional Welfare Impacts of Public Spending: The Case of Urban versus National Parks

  • Feinerman, Eli
  • Fleischer, Aliza
  • Simhon, Avi
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    This study examines the optimal allocation of funds between national and urban parks. Since travel costs to national parks are significantly higher than to urban parks, poor households tend to visit the latter more frequently, whereas rich households favor the former. Therefore, allocating public funds to improving the quality of national parks at the expense of urban parks disproportionately benefits high income households. By developing a theoretical model and implementing it using Israeli data, findings indicate all households, except for the richest decile, prefer that the park authority divert a larger proportion of its budget from national to urban parks.

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    File URL: http://purl.umn.edu/31105
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    Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

    Volume (Year): 29 (2004)
    Issue (Month): 02 (August)
    Pages:

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    Handle: RePEc:ags:jlaare:31105
    Contact details of provider: Web page: http://waeaonline.org/

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    1. Feather, Peter & Shaw, W. Douglass, 1998. "Estimating The Cost Of Leisure Time For Recreation Demand Models," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20855, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Joseph Altonji & Christina Paxson, 1985. "Job Characteristics and Hours of Work," Working Papers 578, Princeton University, Department of Economics, Industrial Relations Section..
    3. Biddle, Jeff E & Zarkin, Gary A, 1989. "Choice among Wage-Hours Packages: An Empirical Investigation of Male Labor Supply," Journal of Labor Economics, University of Chicago Press, vol. 7(4), pages 415-37, October.
    4. Kling, Catherine L., 1988. "Comparing Welfare Estimates of Environmental Quality Changes from Recreation Demand Models," Staff General Research Papers 1584, Iowa State University, Department of Economics.
    5. Timothy C. Haab & Kenneth E. McConnell, 1996. "Count Data Models and the Problem of Zeros in Recreation Demand Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 89-102.
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