Multi-Destination and Multi-Purpose Trip Effects in the Analysis of the Demand for Trips to a Remote Recreational Site |
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Authors: | Roberto Martínez-Espiñeira Joe Amoako-Tuffour |
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Institution: | (1) Department of Economics, St Francis Xavier University, PO Box 5000, Antigonish, NS, Canada |
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Abstract: | One of the basic assumptions of the travel cost method for recreational demand analysis is that the travel cost is always
incurred for a single purpose recreational trip. Several studies have skirted around the issue with simplifying assumptions
and dropping observations considered as nonconventional holiday-makers or as nontraditional visitors from the sample. The
effect of such simplifications on the benefit estimates remains conjectural. Given the remoteness of notable recreational
parks, multi-destination or multi-purpose trips are not uncommon. This article examines the consequences of allocating travel
costs to a recreational site when some trips were taken for purposes other than recreation and/or included visits to other
recreational sites. Using a multi-purpose weighting approach on data from Gros Morne National Park, Canada, we conclude that
a proper correction for multi-destination or multi-purpose trip is more of what is needed to avoid potential biases in the
estimated effects of the price (travel-cost) variable and of the income variable in the trip generation equation. |
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Keywords: | Travel cost method Multi-purpose trips Multi-destination trips Count data Consumer surplus Endogenous stratification |
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