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Comparison Of Environmental Quality-Induced Demand Shifts Using Time-Series And Cross-Section Data


  • Loomis, John B.
  • Cooper, Joseph C.


Almost all applications of the Travel-Cost-Method demand function which include site quality variable(s) are multisite models. The results of this study serve as a note of warning that using the demand equation derived from multisite cross-sectional data to perform a benefit-cost analysis of changes in quality at a single site may not accurately predict the resulting change in the number of trips to that site. In this situation, estimates of the benefits of quality improvements may be unreliable.

Suggested Citation

  • Loomis, John B. & Cooper, Joseph C., 1990. "Comparison Of Environmental Quality-Induced Demand Shifts Using Time-Series And Cross-Section Data," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 15(01), July.
  • Handle: RePEc:ags:wjagec:32508

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    Cited by:

    1. P. Poor & Jamie Smith, 2004. "Travel Cost Analysis of a Cultural Heritage Site: The Case of Historic St. Mary's City of Maryland," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 28(3), pages 217-229, August.
    2. Deisentroth, Daniel B. & Loomis, John B. & Bond, Craig A., 2013. "Using Revealed Preference Behavioral Models to Correctly Account for Substitution Effects in Economic Impact Analysis," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 43(2).


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