Travel Cost Method Considering Trip-day Counts as Integers

Tatsuhito Kono and Jun Yoshida

MPRA Paper from University Library of Munich, Germany

Abstract: The Travel Cost Method (TCM) is a typical benefit measurement method, using the fact that people substitute the benefit of visiting some sites for their travel cost. However, in the case of tourist sites, travelers do not choose the number of days spent in a tourist city as continuous numbers but integer numbers. We investigate how a bias could arise from ignoring integer numbers of nights in TCM. We derive the formula of what factors constitute the bias. Next, we numerically show that when measuring benefits of improving quality at sites, the maximum bias could be around 20%.

Keywords: Project Evaluation; Travel cost method; Integer property (search for similar items in EconPapers)
JEL-codes: Q26 Q56 (search for similar items in EconPapers)
Date: 2020-03-24
New Economics Papers: this item is included in nep-env and nep-tur
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/99244/1/MPRA_paper_99244.pdf original version (application/pdf)

Related works:
Working Paper: Travel Cost Method Considering Trip-day Counts as Integers (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:99244

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().