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The Economic Valuation of Dryland Ecosystem Services in the South African Kgalagadi by the Local Communities

  • Dikgang, Johane
  • Muchapondwa, Edwin

This study seeks to value ecosystem services in the Kgalagadi area in South Africa by applying the choice experiment technique. The values placed on dryland ecosystem services by indigenous communities are estimated using a conditional logit model, a random parameter logit model and a random parameter logit model with interactions. The results show that local communities would prefer increased grazing, firewood collection, hunting opportunities, and harvesting of medicinal plants. Classification-JEL: separated by commas

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Paper provided by Resources For the Future in its series Discussion Papers with number dp-13-15-efd.

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Handle: RePEc:rff:dpaper:dp-13-15-efd
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  1. Hole, Arne Risa & Kolstad, Julie Riise, 2010. "Mixed logit estimation of willingness to pay distributions: a comparison of models in preference and WTP space using data from a health-related choice experiment," Working Papers in Economics 03/10, University of Bergen, Department of Economics.
  2. Hausman, Jerry & McFadden, Daniel, 1984. "Specification Tests for the Multinomial Logit Model," Econometrica, Econometric Society, vol. 52(5), pages 1219-40, September.
  3. Johane Dikgang and Edwin Muchapondwa, 2013. "The Economic Evaluation of Dryland Ecosystem Services in the South African Kgalagadi Area and Implications for PES Involving the Khomani San," Working Papers 384, Economic Research Southern Africa.
  4. Fredrik Carlsson & Mitesh Kataria, 2008. "Assessing Management Options for Weed Control with Demanders and Non-Demanders in a Choice Experiment," Land Economics, University of Wisconsin Press, vol. 84(3), pages 517-528.
  5. Wiktor Adamowicz & Peter Boxall & Michael Williams & Jordan Louviere, 1998. "Stated Preference Approaches for Measuring Passive Use Values: Choice Experiments and Contingent Valuation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 64-75.
  6. Daniel McFadden, 1986. "The Choice Theory Approach to Market Research," Marketing Science, INFORMS, vol. 5(4), pages 275-297.
  7. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
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