IDEAS home Printed from https://ideas.repec.org/a/ags/joaaec/15282.html
   My bibliography  Save this article

The Economic Value Of Hiking: Further Considerations Of Opportunity Cost Of Time In Recreational Demand Models

Author

Listed:
  • Casey, James F.
  • Vukina, Tomislav
  • Danielson, Leon E.

Abstract

The paper tests two alternative specifications for the opportunity cost of time in travel cost models. The standard travel cost survey design is enriched to include a contingent valuation type question about peoples' willingness to accept compensation to forgo a precisely defined recreational experience. It is hypothesized that individually revealed value of time more appropriately reflects the opportunity costs of time associated with a particular aspect of recreation than the wage rate which measures the trade-off between work and leisure generally. The results seem to indicate a better overall fit for the models with the elicited value of individual consumer's time than for the models with the more traditional hourly earnings (wage rates). The importance of the corrected measurement of the opportunity cost time is illustrated by showing that estimated consumer surpluses based on two different value of time measurements differ significantly.

Suggested Citation

  • Casey, James F. & Vukina, Tomislav & Danielson, Leon E., 1995. "The Economic Value Of Hiking: Further Considerations Of Opportunity Cost Of Time In Recreational Demand Models," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 27(2), pages 1-11, December.
    • Handle: RePEc:ags:joaaec:15282
    DOI: 10.22004/ag.econ.15282
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/15282/files/27020658.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.15282?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
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. V. Kerry Smith, 1993. "Nonmarket Valuation of Environmental Resources: An Interpretive Appraisal," Land Economics, University of Wisconsin Press, vol. 69(1), pages 1-26.
    2. Garey Durden & Jason F. Shogren, 1988. "Valuing Non-Market Recreation Goods: An Evaluative Survey of the Literature on the Travel Cost and Contingent Valuation Methods," The Review of Regional Studies, Southern Regional Science Association, vol. 18(3), pages 1-15, Fall.
    3. K. E. McConnell, 1992. "On-Site Time in the Demand for Recreation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(4), pages 918-925.
    4. V. Kerry Smith & William H. Desvousges & Matthew P. McGivney, 1983. "The Opportunity Cost of Travel Time in Recreation Demand Models," Land Economics, University of Wisconsin Press, vol. 59(3), pages 259-278.
    5. Kenneth E. McConnell & Ivar Strand, 1981. "Measuring the Cost of Time in Recreation Demand Analysis: An Application to Sportfishing," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 63(1), pages 153-156.
    6. W. Douglass Shaw, 1992. "Searching for the Opportunity Cost of an Individual's Time," Land Economics, University of Wisconsin Press, vol. 68(1), pages 107-115.
    7. Frank J. Cesario, 1976. "Value of Time in Recreation Benefit Studies," Land Economics, University of Wisconsin Press, vol. 52(1), pages 32-41.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mikołaj Czajkowski & Marek Giergiczny & Jakub Kronenberg & Jeffrey Englin, 2019. "The Individual Travel Cost Method with Consumer-Specific Values of Travel Time Savings," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(3), pages 961-984, November.
    2. Bowker, James Michael & Starbuck, C. Meghan & English, Donald B.K. & Bergstrom, John C. & Rosenberger, Randall S. & McCollum, Daniel W., 2009. "Estimating the Net Economic Value of National Forest Recreation: An Application of the National Visitor Use Monitoring Database," Faculty Series 59603, University of Georgia, Department of Agricultural and Applied Economics.
    3. Ovaskainen, Ville & Neuvonen, Marjo & Pouta, Eija, 2012. "Modelling recreation demand with respondent-reported driving cost and stated cost of travel time: A Finnish case," Journal of Forest Economics, Elsevier, vol. 18(4), pages 303-317.
    4. Rolfe, John & Prayaga, Prabha, 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 1-18.
    5. Dietrich Earnhart, 2004. "Time is Money: Improved Valuation of Time and Transportation Costs," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 29(2), pages 159-190, October.
    6. Star, Megan & Rolfe, John & Brown, Julia, 2020. "From farm to fork: Is food tourism a sustainable form of economic development?," Economic Analysis and Policy, Elsevier, vol. 66(C), pages 325-334.
    7. Ophelia Amo & Wisdom Akpalu & Daniel K. Twerefou & Godfred A. Bokpin, 2022. "Estimating the Economic Value of Health Walk on the Accra-Aburi Mountains Walkway in Ghana: An Individual Travel Cost Approach," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 9(1), pages 75-85, January.
    8. O'Garra, Tanya & Mourato, Susana & Pearson, Peter, 2008. "Investigating attitudes to hydrogen refuelling facilities and the social cost to local residents," Energy Policy, Elsevier, vol. 36(6), pages 2074-2085, June.
    9. 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.

    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. 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.
    2. Lew, Daniel K. & Larson, Douglas M., 2005. "Accounting for stochastic shadow values of time in discrete-choice recreation demand models," Journal of Environmental Economics and Management, Elsevier, vol. 50(2), pages 341-361, September.
    3. Smith, V. Kerry, 1997. "Time and the Valuation of Environmental Resources," RFF Working Paper Series dp-98-07, Resources for the Future.
    4. Cooper, Joseph C., 1995. "The Application of Nonmarket Valuation Techniques to Agricultural Issues," Staff Reports 333359, United States Department of Agriculture, Economic Research Service.
    5. 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.
    6. Taylor, R. Garth & Woodall, Stacie & Wandschneider, Philip R. & Foltz, John C., 2004. "The Demand for Wine Tourism in Canyon County, Idaho," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 7(4), pages 1-18.
    7. Woodall, Stacie & Wandschneider, Philip R. & Foltz, John C. & Taylor, R. Garth, 2002. "Valuing Idaho Wineries With A Travel Cost Model," 2002 Annual Meeting, July 28-31, 2002, Long Beach, California 36613, Western Agricultural Economics Association.
    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. Larson, Douglas & Shaikh, Sabina, 1999. "Empirical Specification Requirements for Two-Constraint Models of Recreation Demand," Western Region Archives 321713, Western Region - Western Extension Directors Association (WEDA).
    10. Jara-Díaz, Sergio & Rosales-Salas, Jorge, 2017. "Beyond transport time: A review of time use modeling," Transportation Research Part A: Policy and Practice, Elsevier, vol. 97(C), pages 209-230.
    11. von Haefen, Roger H., 2003. "Incorporating observed choice into the construction of welfare measures from random utility models," Journal of Environmental Economics and Management, Elsevier, vol. 45(2), pages 145-165, March.
    12. 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.
    13. Raymond Palmquist & Daniel Phaneuf & V. Smith, 2010. "Short Run Constraints and the Increasing Marginal Value of Time in Recreation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 46(1), pages 19-41, May.
    14. Larson, Douglas M. & Shaikh, Sabina L., 1997. "Empirical Specification Considerations for Two-Constraint Models of Recreation Demand," 1997 Annual meeting, July 27-30, Toronto, Canada 271482, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Christopher Azevedo & John R. Crooker, 2008. "Alternative Approaches to Incorporating the Opportunity Cost of Time in Recreation Demand Models," Working Papers 0803, University of Central Missouri, Department of Economics & Finance, revised May 2008.
    16. Lupi, Frank & Phagan, Tiffany D. & Hoehn, John P. & Graham-Tomasi, Theodore, 1996. "Time Values in Recreational Demand: The Empirical Relevance of Labor Supply Constraints," Staff Paper Series 201211, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    17. Feather, Peter & Shaw, W. Douglass, 1999. "Estimating the Cost of Leisure Time for Recreation Demand Models," Journal of Environmental Economics and Management, Elsevier, vol. 38(1), pages 49-65, July.
    18. Lew, Daniel K., 1998. "Some Implications Of The Two-Constraint Joint Recreational Choice Demand Model," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20937, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. Phaneuf, Daniel James, 1997. "Generalized corner solution models in recreation demand," ISU General Staff Papers 1997010108000013022, Iowa State University, Department of Economics.
    20. Ward, Frank A. & Loomis, John B., 1986. "The Travel Cost Demand Model As An Environmental Policy Assessment Tool: A Review Of Literature," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 11(2), pages 1-15, December.

    More about this item

    Keywords

    Resource /Energy Economics and Policy;

    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:joaaec:15282. 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/saeaaea.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.