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Estimating the value of self‐drive recreation in the remote Kimberley: Sensitivity to multi‐destination trips

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  • Alaya Spencer‐Cotton
  • Marit E. Kragt
  • Michael Burton

Abstract

The remote and iconic Kimberley region, in northern Western Australia, is a contested landscape with growing pressure for different types of land use and development. The region has high biodiversity values and impressive scenery that provide attractive recreation experiences for visitors. We estimate the value of domestic recreation to the region using a travel cost model. Analysis includes two approaches for accounting for multi‐destination trips (MDTs) given travel to remote sites are more likely to include these than shorter trips, and four specifications for the value of travel time. We estimate a total consumer surplus of A$110.34 million annually and find that adjusting travel costs for MDTs using stated survey information produces a better fitting model than using revealed travel information. These findings highlight both the importance of estimating recreation values for use in land use planning in the Kimberley and for improving the travel cost method for remote sites where per‐trip travel costs are high.

Suggested Citation

  • Alaya Spencer‐Cotton & Marit E. Kragt & Michael Burton, 2024. "Estimating the value of self‐drive recreation in the remote Kimberley: Sensitivity to multi‐destination trips," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 68(4), pages 731-751, October.
    • Handle: RePEc:bla:ajarec:v:68:y:2024:i:4:p:731-751
    DOI: 10.1111/1467-8489.12584
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