Non Use Economic Values of Marine Protected Areas in the South-West Marine Region
Australian governments are committed to the expansion of marine protected areas (MPAs) in Australian waters and have already established over 200 MPAs. However, this policy direction has a range of costs and benefits for the community which have largely remained unquantified. One of the main benefits of establishing MPAs are the non use values that the community for the protection of marine biodiversity. This study uses a dichotomous choice contingent valuation format with follow-up open-ended willingness to pay question to estimate these non use values for the establishment of MPAs in South-west Marine Region of Australia. It was found that on average Australian households would be WTP $104 for the establishment of MPAs that cover 10% of the South-west Marine Region. Aggregating this mean WTP estimate to 50% of the population of Australian households gives an aggregate WTP of $400M. However, whether the establishment of MPAs in the South-west Marine Region is economically efficient requires a consideration of all the potential costs and benefits. Other relevant costs and benefits for inclusion in a benefit cost analysis would include those associated with displacement of commercial and non-commercial uses, additional planning, compliance and monitoring costs as well as any predicted increases in commercial and non-commercial use values. If the net costs of establishing MPA over 10% of the South-west Marine Region are less than $400M, then the non-use benefits of establishing MPAs would exceed the other net costs and it would be considered to be economically efficient and desirable from a community welfare perspective. Given the difficulties of estimating precise WTP values from dichotomous choice data, any BCA of MPAs in the South-west Marine Region, incorporating the results of this study, should undertake sensitivity testing that includes the range of values reported including dichotomous choice and open-ended means to determine the robustness of BCA results to variations in the welfare estimate
|Date of creation:||Dec 2010|
|Date of revision:|
|Contact details of provider:|| Postal: Crawford Building, Lennox Crossing, Building #132, Canberra ACT 2601|
Phone: +61 2 6125 4705
Fax: +61 2 6125 5448
Web page: http://www.crawford.anu.edu.au/research_units/eerh/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Rolfe, John & Windle, Jill, 2010. "Assessing national values to protect the health of the Great Barrier Reef," Research Reports 96384, Australian National University, Environmental Economics Research Hub.
- Morrison, Mark, 2000. "Aggregation Biases in Stated Preference Studies," Australian Economic Papers, Wiley Blackwell, vol. 39(2), pages 215-30, June.
- McCartney, Abbie, 2009. "The Policy Relevance of Choice Modelling: An Application to the Ningaloo and Proposed Capes Marine Parks," 2009 Conference (53rd), February 11-13, 2009, Cairns, Australia 48033, Australian Agricultural and Resource Economics Society.
- Nick Hanley & Douglas MacMillan & Robert E. Wright & Craig Bullock & Ian Simpson & Dave Parsisson & Bob Crabtree, 1998. "Contingent Valuation Versus Choice Experiments: Estimating the Benefits of Environmentally Sensitive Areas in Scotland," Journal of Agricultural Economics, Wiley Blackwell, vol. 49(1), pages 1-15.
- Loomis John & Lockwood Michael & DeLacy Terry, 1993. "Some Empirical Evidence on Embedding Effects in Contingent Valuation of Forest Protection," Journal of Environmental Economics and Management, Elsevier, vol. 25(1), pages 45-55, July.
- Green, Donald & Jacowitz, Karen E. & Kahneman, Daniel & McFadden, Daniel, 1998.
"Referendum contingent valuation, anchoring, and willingness to pay for public goods,"
Resource and Energy Economics,
Elsevier, vol. 20(2), pages 85-116, June.
- Donald Green & Karen Jacowitz & Daniel Kahneman & Daniel McFadden, 1995. "Referendum Contingent Valuation, Anchoring, and Willingness to Pay for Public Goods," Working Papers _010, University of California at Berkeley, Econometrics Laboratory Software Archive.
- Hanley, Nick & Mourato, Susana & Wright, Robert E, 2001. " Choice Modelling Approaches: A Superior Alternative for Environmental Valuation?," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 435-62, July.
- Richard O‘Conor & Magnus Johannesson & Per-Olov Johansson, 1999. "Stated Preferences, Real Behaviour and Anchoring: Some Empirical Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 13(2), pages 235-248, March.
- John Rolfe & Jill Windle, 2010. "Assessing national values to protect the health of the Great Barrier Reef," Environmental Economics Research Hub Research Reports 1072, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University.
- Kragt, Marit Ellen & Bennett, Jeffrey W., 2008.
"Designing choice experiments to Test for Anchoring and Framing Effects,"
94810, Australian National University, Environmental Economics Research Hub.
- Marit Kragt & Jeff Bennett, 2008. "Designing Choice Experiments to Test for Anchoring and Framing Effects," Environmental Economics Research Hub Research Reports 0810, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University.
- Polski, Margaret, 2005. "The institutional economics of biodiversity, biological materials, and bioprospecting," Ecological Economics, Elsevier, vol. 53(4), pages 543-557, June.
- Jeff Bennett, 2008. "Defining And Managing Environmental Flows: Inputs From Society," Economic Papers, The Economic Society of Australia, vol. 27(2), pages 167-183, 06.
- DeShazo, J. R. & Fermo, German, 2002. "Designing Choice Sets for Stated Preference Methods: The Effects of Complexity on Choice Consistency," Journal of Environmental Economics and Management, Elsevier, vol. 44(1), pages 123-143, July.
- Trudy Ann Cameron & John Quiggin, 1992.
"Estimation Using Contingent Valuation Data From a "Dichotomous Choice with Follow-Up" Questionnaire,"
UCLA Economics Working Papers
653, UCLA Department of Economics.
- Cameron Trudy Ann & Quiggin John, 1994. "Estimation Using Contingent Valuation Data from a Dichotomous Choice with Follow-Up Questionnaire," Journal of Environmental Economics and Management, Elsevier, vol. 27(3), pages 218-234, November.
- Kevin J. Boyle & F. Reed Johnson & Daniel W. McCollum & William H. Desvousges & Richard W. Dunford & Sara P. Hudson, 1996. "Valuing Public Goods: Discrete versus Continuous Contingent-Valuation Responses," Land Economics, University of Wisconsin Press, vol. 72(3), pages 381-396.
- Dixie Reaves & Randall Kramer & Thomas Holmes, 1999. "Does Question Format Matter? Valuing an Endangered Species," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 14(3), pages 365-383, October.
- Cameron, Trudy Ann & Poe, Gregory L. & Ethier, Robert G. & Schulze, William D., 2002. "Alternative Non-market Value-Elicitation Methods: Are the Underlying Preferences the Same?," Journal of Environmental Economics and Management, Elsevier, vol. 44(3), pages 391-425, November.
When requesting a correction, please mention this item's handle: RePEc:ags:eerhrr:107582. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If references are entirely missing, you can add them using this form.