IDEAS home Printed from https://ideas.repec.org/p/ags/aare13/152146.html
   My bibliography  Save this paper

Investigating the effects of sample heterogeneity on the travel cost model for coral diving in Southeast Asia

Author

Listed:
  • Doshi, Amar
  • Pascoe, Sean

Abstract

In mid-2010, an impact assessment was undertaken to ascertain the non-market value of coral reefs to scuba divers in Thailand, Malaysia and Indonesia. A travel cost method was employed and it was found that divers had a consumer surplus of about US$590 per dive. However, given the sample consisted of a much larger proportion of international visitors (84%), an analysis was undertaken to ascertain the effects of the sample heterogeneity on the economic value estimates. The results indicated that the pooled results were biased towards the international sub-sample. Domestic visitors had a much lower consumer surplus of about US$130 per dive. In addition, the split-sampling suggested that the assumption of endogenous stratification using count data models was not appropriate for the international sub-sample. Applying the split-sampling based to the three separate countries illustrated further large disparities in consumer surplus, with Thailand the highest at US1200 per dive and Malaysia the lowest at US$260 per dive. This proves consequential in determining the appropriate user fee structure given the different resulting effects on returning divers based on their origins and diving destinations.

Suggested Citation

  • Doshi, Amar & Pascoe, Sean, 2013. "Investigating the effects of sample heterogeneity on the travel cost model for coral diving in Southeast Asia," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152146, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare13:152146
    DOI: 10.22004/ag.econ.152146
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/152146/files/CP%20Doshi.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.152146?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. John Rolfe & Brenda Dyack, 2010. "Testing for convergent validity between travel cost and contingent valuation estimates of recreation values in the Coorong, Australia ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(4), pages 583-599, October.
    2. Farr, Marina & Stoeckl, Natalie & Beg, Rabiul Alam, 2011. "The efficiency of the Environmental Management Charge in the Cairns management area of the Great Barrier Reef Marine Park," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 55(3), pages 1-20, September.
    3. John Rolfe & Prabha Prayaga, 2007. "Estimating values for recreational fishing at freshwater dams in Queensland ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 51(2), pages 157-174, June.
    4. Prabha Prayaga & John Rolfe & Jack Sinden, 2006. "A Travel Cost Analysis of the Value of Special Events: Gemfest in Central Queensland," Tourism Economics, , vol. 12(3), pages 403-420, September.
    5. Michael D. Creel & John B. Loomis, 1990. "Theoretical and Empirical Advantages of Truncated Count Data Estimators for Analysis of Deer Hunting in California," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(2), pages 434-441.
    6. Timothy C. Haab & Kenneth E. McConnell, 2002. "Valuing Environmental and Natural Resources," Books, Edward Elgar Publishing, number 2427.
    7. Udomsak Seenprachawong, 2003. "Economic valuation of coral reefs at Phi Phi Islands, Thailand," International Journal of Global Environmental Issues, Inderscience Enterprises Ltd, vol. 3(1), pages 104-114.
    8. Udomsak Seenprachawong, 2001. "An Economic Analysis of Coral Reefs in the Andaman Sea of Thailand," EEPSEA Research Report rr2001092, Economy and Environment Program for Southeast Asia (EEPSEA), revised Sep 2001.
    9. Shaw, Daigee, 1988. "On-site samples' regression : Problems of non-negative integers, truncation, and endogenous stratification," Journal of Econometrics, Elsevier, vol. 37(2), pages 211-223, February.
    10. Prayaga, Prabha & Rolfe, John & Stoeckl, Natalie, 2010. "The value of recreational fishing in the Great Barrier Reef, Australia: A pooled revealed preference and contingent behaviour model," Marine Policy, Elsevier, vol. 34(2), pages 244-251, March.
    11. Chen, Weiqi & Hong, Huasheng & Liu, Yan & Zhang, Luoping & Hou, Xiaofeng & Raymond, Mark, 2004. "Recreation demand and economic value: An application of travel cost method for Xiamen Island," China Economic Review, Elsevier, vol. 15(4), pages 398-406.
    12. Englin, Jeffrey & Shonkwiler, J S, 1995. "Estimating Social Welfare Using Count Data Models: An Application to Long-Run Recreation Demand under Conditions of Endogenous Stratification and Truncation," The Review of Economics and Statistics, MIT Press, vol. 77(1), pages 104-112, February.
    13. Timo Kuosmanen & Eleonora Nillesen & Justus Wesseler, 2004. "Does ignoring multidestination trips in the travel cost method cause a systematic bias?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 48(4), pages 629-651, December.
    14. Whitten, Stuart M. & Bennett, Jeffrey W., 2001. "A Travel Cost Study of Duck Hunting in the Upper South East of South Australia," 2001 Conference (45th), January 23-25, 2001, Adelaide, Australia 126064, Australian Agricultural and Resource Economics Society.
    15. Daniel Hellerstein & Robert Mendelsohn, 1993. "A Theoretical Foundation for Count Data Models," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 75(3), pages 604-611.
    16. Costanza, Robert & Farber, Stephen C. & Maxwell, Judith, 1989. "Valuation and management of wetland ecosystems," Ecological Economics, Elsevier, vol. 1(4), pages 335-361, December.
    17. Mario Du Preez & Matt Dicken & Stephen Gerald Hosking, 2012. "The Value Of Tiger Shark Diving Within The Aliwal Shoal Marine Protected Area: A Travel Cost Analysis," South African Journal of Economics, Economic Society of South Africa, vol. 80(3), pages 387-399, September.
    18. Whitehead, John C. & Haab, Timothy C. & Huang, Ju-Chin, 2000. "Measuring recreation benefits of quality improvements with revealed and stated behavior data," Resource and Energy Economics, Elsevier, vol. 22(4), pages 339-354, October.
    19. Fleming, Christopher M. & Cook, Averil, 2007. "The recreational value of Lake McKenzie: An application of the travel cost method," 2007 Conference (51st), February 13-16, 2007, Queenstown, New Zealand 10382, Australian Agricultural and Resource Economics Society.
    20. Andersson, Jessica E.C., 2007. "The recreational cost of coral bleaching -- A stated and revealed preference study of international tourists," Ecological Economics, Elsevier, vol. 62(3-4), pages 704-715, May.
    21. Beal, Diana J., 1995. "A Travel Cost Analysis of the Value of Carnarvon Gorge National Park for Recreational Use," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 63(02), pages 1-12, August.
    22. Loomis, John B. & Yorizane, Shizuka & Larson, Douglas M., 2000. "Testing Significance Of Multi-Destination And Multi-Purpose Trip Effects In A Travel Cost Method Demand Model For Whale Watching Trips," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 29(2), pages 1-9, October.
    23. Park, Timothy A. & Bowker, James Michael & Leeworthy, Vernon R., 2000. "Valuing Snorkeling Visits To The Florida Keys With Stated And Revealed Preference Models," Faculty Series 16713, University of Georgia, Department of Agricultural and Applied Economics.
    24. Shrestha, Ram K. & Seidl, Andrew F. & Moraes, Andre S., 2002. "Value of recreational fishing in the Brazilian Pantanal: a travel cost analysis using count data models," Ecological Economics, Elsevier, vol. 42(1-2), pages 289-299, August.
    25. Rainer Winkelmann, 2008. "Econometric Analysis of Count Data," Springer Books, Springer, edition 0, number 978-3-540-78389-3, October.
    26. Grogger, J T & Carson, Richard T, 1991. "Models for Truncated Counts," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 6(3), pages 225-238, July-Sept.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pascoe, Sean, 2019. "Recreational beach use values with multiple activities," Ecological Economics, Elsevier, vol. 160(C), pages 137-144.
    2. Marina Farr & Natalie Stoeckl & Rabiul Alam Beg, 2011. "The efficiency of the Environmental Management Charge in the Cairns management area of the Great Barrier Reef Marine Park," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 55(3), pages 322-341, July.
    3. Roberto Martinez-Espineira & Joe Amoako-Tuffour, 2008. "Multi-destination and multi-purpose trip effects in the analysis of the demand for trips to a remote recreational site," EERI Research Paper Series EERI_RP_2008_19, Economics and Econometrics Research Institute (EERI), Brussels.
    4. Paul Mwebaze & Jeff Bennett, 2012. "Valuing Australian botanic collections: a combined travel-cost and contingent valuation study," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 56(4), pages 498-520, October.
    5. Chin†Huang Huang, 2017. "Estimating the environmental effects and recreational benefits of cultivated flower land for environmental quality improvement in Taiwan," Agricultural Economics, International Association of Agricultural Economists, vol. 48(1), pages 29-39, January.
    6. Pascoe, Sean & Doshi, Amar & Dell, Quentin & Tonks, Mark & Kenyon, Rob, 2014. "Economic value of recreational fishing in Moreton Bay and the potential impact of the marine park rezoning," Tourism Management, Elsevier, vol. 41(C), pages 53-63.
    7. Roberto Martinez-Espineira & Joe Amoako-Tuffour, 2005. "Recreation Demand Analysis under Truncation, Overdispersion, and Endogenous Stratification: An Application to Gros Morne National Park," Econometrics 0511007, University Library of Munich, Germany.
    8. Amoako-Tuffour, Joe & Martınez-Espineira, Roberto, 2008. "Leisure and the Opportunity Cost of Travel Time in Recreation Demand Analysis: A Re-Examination," MPRA Paper 8573, University Library of Munich, Germany.
    9. Simões, Paula & Barata, Eduardo & Cruz, Luís, 2013. "Joint estimation using revealed and stated preference data: An application using a national forest," Journal of Forest Economics, Elsevier, vol. 19(3), pages 249-266.
    10. Isabel Mendes & Isabel Proença, 2009. "Measuring the Social Recreation Per-Day Net Benefit of Wildlife Amenities of a National Park: A Count-Data Travel Cost Approach," Working Papers Department of Economics 2009/35, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    11. Farr, Marina & Stoeckl, Natalie, 2018. "Overoptimism and the undervaluation of ecosystem services: A case-study of recreational fishing in Townsville, adjacent to the Great Barrier Reef," Ecosystem Services, Elsevier, vol. 31(PC), pages 433-444.
    12. Prayaga, Prabha, 2017. "Estimating the value of beach recreation for locals in the Great Barrier Reef Marine Park, Australia," Economic Analysis and Policy, Elsevier, vol. 53(C), pages 9-18.
    13. John A. Curtis, 2002. "Estimating the Demand for Salmon Angling in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 33(3), pages 319-332.
    14. Mahadev Bhat & Ramachandra Bhatta & Mohamed Shumais, 2014. "Sustainable funding policies for environmental protection: the case of Maldivian atolls," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 16(1), pages 45-67, January.
    15. Richard Melstrom, 2014. "Valuing historic battlefields: an application of the travel cost method to three American Civil War battlefields," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 38(3), pages 223-236, August.
    16. John Cullinan & Stephen Hynes & Cathal O’Donoghue, 2008. "Aggregating Consumer Surplus Values in Travel Cost Modelling Using Spatial Microsimulation and GIS Techniques," Working Papers 0807, Rural Economy and Development Programme,Teagasc.
    17. Rolfe, John & Dyack, Brenda, 2010. "Testing for convergent validity between travel cost and contingent valuation estimates of recreation values in the Coorong, Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(4), pages 1-17.
    18. Raju Mandal & Subrata Barman & M. P. Bezbaruah, 2014. "Economic Valuation for a better Conservation: A Case Study of Kaziranga National Park, India," Working Papers 1410, Sam Houston State University, Department of Economics and International Business.
    19. Anthony Amoah & Peter G. Moffatt, 2017. "Estimating demand for reliable piped-water services in urban Ghana: An application of competing valuation approaches," University of East Anglia School of Economics Working Paper Series 2017-01, School of Economics, University of East Anglia, Norwich, UK..
    20. Erik Wallentin, 2016. "Choice of the angler," Tourism Economics, , vol. 22(6), pages 1338-1351, December.

    More about this item

    Keywords

    Demand and Price Analysis; Environmental Economics and Policy; Research and Development/Tech Change/Emerging Technologies;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aare13:152146. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaresea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.