Multi-destination and multi-purpose trip effects in the analysis of the demand for trips to a remote recreational site
Roberto Martinez-Espineira () and
EERI Research Paper Series from Economics and Econometrics Research Institute (EERI), Brussels
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 non-conventional holiday-makers or as non-traditional visitors from the sample. The effectof 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 paper 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.
Keywords: Travel cost method; multi-purpose trips; multi-destination trips; count data; consumer surplus, endogenous stratification (search for similar items in EconPapers)
JEL-codes: C24 Q26 (search for similar items in EconPapers)
Pages: 36 pages
New Economics Papers: this item is included in nep-tur
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Persistent link: https://EconPapers.repec.org/RePEc:eei:rpaper:eeri_rp_2008_19
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