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Testing Significance of Multi-Destination and Multi-Purpose Trip Effects in a Travel Cost Method Demand Model for Whale Watching Trips

Published online by Cambridge University Press:  15 September 2016

John Loomis ,
Shizuka Yorizane  and
Douglas Larson
John Loomis
Affiliation:
Department of Agricultural and Resource Economics at Colorado State University
Shizuka Yorizane
Affiliation:
Department of Agricultural and Resource Economics at Colorado State University
Douglas Larson
Affiliation:
Department of Agricultural and Resource Economics at the University of California, Davis
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Abstract

Inclusion of multi-destination and multi-purpose visitors has an appreciable influence on a standard count data travel cost model derived estimate of willingness to pay but the differences are not statistically significant. We adapt a more general travel cost model (TCM) of Parsons and Wilson (1997) that allows for inclusion of multi-destination visitors as incidental demand to allow estimation of an unbiased measure of single and multi-destination willingness to pay for whale viewing using a single pooled equation. The primary purpose trip values from the standard TCM and simple generalized TCM model are identical at $43 per person per day and neither are significantly different from the $50 day value from a generalized model that distinguishes between joint and incidental trips. The general models avoid underestimation of total recreation site benefits that would result from omitting the consumer surplus of multi-destination visitors.

Type
Articles
Information
Agricultural and Resource Economics Review , Volume 29 , Issue 2 , October 2000 , pp. 183 - 191
Copyright
Copyright © 2000 Northeastern Agricultural and Resource Economics Association 

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