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The Distributional Impacts of Recreational Fees: A Discrete Choice Model with Incomplete Data

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  • Hwa Nyeon Kim
  • W. Douglass Shaw
  • Richard T. Woodward

Abstract

We explore the distributional consequences of various fee schemes and other policy programs to reduce overfishing in the gulf of Mexico recreational fishery. The econometric model allows the marginal utility of income to vary across three income groups. We find that flat fees have a strong proportional effect on the participation of shore fishermen, where low-income anglers predominate, and a relatively small impact on the expensive charter fishery. We also find that the welfare consequences of declining catch rates would fall disproportionately on low-income anglers.

Suggested Citation

  • Hwa Nyeon Kim & W. Douglass Shaw & Richard T. Woodward, 2007. "The Distributional Impacts of Recreational Fees: A Discrete Choice Model with Incomplete Data," Land Economics, University of Wisconsin Press, vol. 83(4), pages 561-574.
  • Handle: RePEc:uwp:landec:v:83:y:2007:i:4:p:561-574
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    References listed on IDEAS

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    1. Parsons, George R. & Jakus, Paul M. & Tomasi, Ted, 1999. "A Comparison of Welfare Estimates from Four Models for Linking Seasonal Recreational Trips to Multinomial Logit Models of Site Choice," Journal of Environmental Economics and Management, Elsevier, vol. 38(2), pages 143-157, September.
    2. R. M. Adams & O. Bergland & W. N. Musser & S. L. Johnson & L. M. Musser, 1989. "User Fees and Equity Issues in Public Hunting Expenditures: The Case of Ring-Necked Pheasant in Oregon," Land Economics, University of Wisconsin Press, vol. 65(4), pages 376-385.
    3. M. K. Haener & P. C. Boxall & W. L. Adamowicz & D. H. Kuhnke, 2004. "Aggregation Bias in Recreation Site Choice Models: Resolving the Resolution Problem," Land Economics, University of Wisconsin Press, vol. 80(4).
    4. Anders Karlstrom, 2003. "A Simple Method of Incorporating Income Effects into Logit and Nested-Logit Models: Theory and Application," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 248-253.
    5. Nick Hanley & W. Douglass Shaw & Robert E. Wright (ed.), 2003. "The New Economics of Outdoor Recreation," Books, Edward Elgar Publishing, number 2712, April.
    6. W. Shaw & Michael Ozog, 1999. "Modeling Overnight Recreation Trip Choice: Application of a Repeated Nested Multinomial Logit Model," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 13(4), pages 397-414, June.
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    Citations

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    Cited by:

    1. Mingie, James C. & Poudyal, Neelam C. & Bowker, J.M. & Mengak, Michael T. & Siry, Jacek P., 2017. "Big game hunter preferences for hunting club attributes: A choice experiment," Forest Policy and Economics, Elsevier, vol. 78(C), pages 98-106.
    2. Chen, Min & Lupi, Frank, 2013. "Modeling Long Overnight Trips by Chaining Recreation Sites," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150489, Agricultural and Applied Economics Association.
    3. Asma BEN OTHMEN, 2014. "De la mise à contribution des bénéficiaires au financement de la préservation des espaces naturels : tarification de l’accès ou augmentation de taxe?," Cahiers du GREThA 2014-10, Groupe de Recherche en Economie Théorique et Appliquée.
    4. Bahamonde-Birke, Francisco J. & Hanappi, Tibor, 2016. "The potential of electromobility in Austria: Evidence from hybrid choice models under the presence of unreported information," Transportation Research Part A: Policy and Practice, Elsevier, vol. 83(C), pages 30-41.
    5. Francisco J. Bahamonde-Birke & Tibor Hanappi, 2015. "The Potential of Electromobility in Austria: An Analysis Based on Hybrid Choice Models," Discussion Papers of DIW Berlin 1472, DIW Berlin, German Institute for Economic Research.
    6. Mélody Leplat & Philippe Le Goffe, 2009. "Faut-il réguler l'encombrement des sites récréatifs ? Un modèle de choix discret avec participation," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 90(1), pages 51-77.

    More about this item

    JEL classification:

    • Q22 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Fishery
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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