{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

2008_04_15_Solutions

2008_04_15_Solutions - 'Travel Cost Method Conceptual...

This preview shows pages 1–5. Sign up to view the full content.

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 'Travel Cost Method: Conceptual Summary How can we ﬁgure out the value to people of visits to a park or other attraction? (Not to self: Stop and do when get to “trip demand functien") War} It I» 0U. L new“: '49, (‘0‘) ‘ J ‘53“: : D in. I'SL :4“. rpm/0,30. '0’” 7:07tenointwfr;0V0l 3"" I) Var “5 to". In}: rah-A 4L. .J..:u:.. , we 1:5 O" _ Costs include \$10 actual entrance fee. Assume that the demands in each zone are identical “Trip demand function” or “Trip demand curve” 100 Total Cost per Trip 29 0 2 4 6 8 10 12 14 16 Trip: per Person (V) Let V denote visitation rate (# of visits per person) 5 V From these data, estimate trip demand TC = 75 ' IA o) All QIA‘ Zonal Travel Cost Model (2): Find multiple points on “aggregate demand curve” Already have for 510 entry fee To find another point, calculate visits with hypothetical \$40 entrance fee: : y r Zone PopUlation‘ Travel Total ngagear Visits 7 W W _ '3 9500 A 50 9 ’b’ ..a 300 6° 0 A 7 ‘10, we 7 I 140 g; 110 V a O " '10000 ' 150 p ' 0 o A" W mm . A “6,006 “Aggregate Demand Curve” 100 ~ ¢ 0 9° g.— ”CAOL. "doe Admission price 0 50000 1 00000 1 50000 200000 250000 300000 350000 400000 450000 500000 Wofvicibnwyw E ‘ Steps in the CIawson-Knetsch Travel Cost Method 1. W (i) as concentric circles emanating from the recreation site. Travel costs from all ints within each zone to the site are sufficiently close In magnﬁuae to jusfﬁ nglecting the dm ; ces. 2. From a W at the recreation site, determine number - 4. a culate the WM) for eam zone of origin (a = (Vi/Ni»- 5. Construgt a travgl Est measure (TCi) that reflects the round-trip costs of travel fmm the m of origin to the recreation site and 11%;st which may be zero and does not vary across zones. E Calculate relevant socioeconomic data (S) such as income and education for each distance zone. 7. Use statistical methods to estimate the Wu the relationship between visitation rates, cost per visit, and travel costs to other sites (TCQ) controlling for socioeconomic differences. Zi = Vi/Ni = 9(TCi 4' f, TCsii Si) "' 8 . Find a mint on the ﬁye demand curvs by using the Si; observed to nu . Vietts to the Site m all travel cost zones as the quantity variable and fas a price variable. zmiiXi—(ﬂmsiiam. i=1 1 i=1 9. Re a mu ' times, changing f to find additional ‘points. In this way. you‘g‘iiiai R Wunti the choke price P0 is found such that V(Po) = O. This agumes thati " toanincreaseinf the wouldto an increase in travel : i.e., ' ' ' ' to'ﬁl numb; elm correspond to a series of hypothetical increases in fadded to existing travel costs. ...
View Full Document

{[ snackBarMessage ]}

Page1 / 5

2008_04_15_Solutions - 'Travel Cost Method Conceptual...

This preview shows document pages 1 - 5. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online