IDEAS home Printed from https://ideas.repec.org/a/sae/toueco/v20y2014i5p1047-1065.html
   My bibliography  Save this article

Economic Values of Agritourism to Visitors: A Multi-Destination Hurdle Travel Cost Model of Demand

Author

Listed:
  • Rebecca Hill

    (Department of Agricultural and Resource Economics, 305-B Clark Building, Colorado State University, Fort Collins, CO 80523, USA)

  • John Loomis

    (Department of Agricultural and Resource Economics, Colorado State University Fort Collins, CO, USA)

  • Dawn Thilmany

    (Department of Agricultural and Resource Economics, Colorado State University Fort Collins, CO, USA)

  • Martha Sullins

    (Colorado State University Extension, 1525 Blue Spruce Drive, Fort Collins, CO 80524, USA)

Abstract

Farm-based recreation, or agritourism, is growing in the USA, raising new interest in the potential benefits for consumers/travellers and communities. This study utilizes a hurdle travel cost model to investigate the demand for and economic benefits of agritourism. The analysis includes an estimation of consumer surplus as one means to estimate the market size for this sector. The standard travel cost model assumes a single-purpose recreational trip; but, as is the case with a number of categories of tourism, this assumption may not hold for all agritourism outings as travellers often visit other destinations. This paper analyses and compares four different models, each using different methods to distinguish between multiple-destination and primary-purpose trips. The findings reveal that consumer surplus ranges from $93 to $164 per person per trip for primary purpose travellers. Implications for accurately estimating the market size of agritourism, as well as a broader set of recreational sectors, are discussed.

Suggested Citation

  • Rebecca Hill & John Loomis & Dawn Thilmany & Martha Sullins, 2014. "Economic Values of Agritourism to Visitors: A Multi-Destination Hurdle Travel Cost Model of Demand," Tourism Economics, , vol. 20(5), pages 1047-1065, October.
    • Handle: RePEc:sae:toueco:v:20:y:2014:i:5:p:1047-1065
    DOI: 10.5367/te.2013.0323
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.5367/te.2013.0323
    Download Restriction: no
    File URL: https://libkey.io/10.5367/te.2013.0323?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Loomis, John B. & Yorizane, Shizuka & Larson, Douglas M., 2000. "Testing Significance Of Multi-Destination And Multi-Purpose Trip Effects In A Travel Cost Method Demand Model For Whale Watching Trips," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 29(2), pages 1-9, October.
    2. Gascoigne, William & Sullins, Martha & Thilmany, Dawn D., 2008. "Agritourism in the West: Exploring the Behavior of Colorado Farm and Ranch Visitors," Western Economics Forum, Western Agricultural Economics Association, vol. 7(2), pages 1-13.
    3. Michael D. Creel & John B. Loomis, 1990. "Theoretical and Empirical Advantages of Truncated Count Data Estimators for Analysis of Deer Hunting in California," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(2), pages 434-441.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Anders Van Sandt & Dawn Thilmany McFadden, 2022. "Navigating the corn maze: Customizing travel cost models to value market segments in heterogeneous industries," Tourism Economics, , vol. 28(4), pages 899-919, June.
    2. Jones, Thomas E. & Yang, Yang & Yamamoto, Kiyotatsu, 2017. "Assessing the recreational value of world heritage site inscription: A longitudinal travel cost analysis of Mount Fuji climbers," Tourism Management, Elsevier, vol. 60(C), pages 67-78.
    3. Van Sandt, Anders & Thilmany, Dawn, 2016. "Exploring the Economics of Agritourists: Customizing Travel Cost Methods to Evaluate Differences Across the Western US," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236142, Agricultural and Applied Economics Association.
    4. Anthony Amoah & Peter G. Moffatt, 2017. "Estimating demand for reliable piped-water services in urban Ghana: An application of competing valuation approaches," University of East Anglia School of Economics Working Paper Series 2017-01, School of Economics, University of East Anglia, Norwich, UK..
    5. Jan Zawadka & Anna Jęczmyk & Monika Małgorzata Wojcieszak-Zbierska & Gniewko Niedbała & Jarosław Uglis & Joanna Pietrzak-Zawadka, 2022. "Socio-Economic Factors Influencing Agritourism Farm Stays and Their Safety during the COVID-19 Pandemic: Evidence from Poland," Sustainability, MDPI, vol. 14(6), pages 1-17, March.
    6. Michał Roman & Piotr Grudzień, 2021. "The Essence of Agritourism and Its Profitability during the Coronavirus (COVID-19) Pandemic," Agriculture, MDPI, vol. 11(5), pages 1-25, May.
    7. Xiaowen Jin & Hao Wu & Jing Zhang & Guangming He, 2021. "Agritourism Development in the USA: The Strategy of the State of Michigan," Sustainability, MDPI, vol. 13(20), pages 1-14, October.
    8. Matthias Firgo & Dieter Pennerstorfer, 2023. "The causal effect of agritourism on farm survival," Economics working papers 2023-15, Department of Economics, Johannes Kepler University Linz, Austria.
    9. Van Sandt, Anders T. & Costanigro, Marco & Thilmany McFadden, Dawn D., 2017. "The Impact of Consumer Heterogeneity and Surrounding Amenities in Determining Traveler Behavior: A Choice Experiment on Agritourism," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259118, Agricultural and Applied Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Van Sandt, Anders & Thilmany, Dawn, 2016. "Exploring the Economics of Agritourists: Customizing Travel Cost Methods to Evaluate Differences Across the Western US," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236142, Agricultural and Applied Economics Association.
    2. Anders Van Sandt & Dawn Thilmany McFadden, 2022. "Navigating the corn maze: Customizing travel cost models to value market segments in heterogeneous industries," Tourism Economics, , vol. 28(4), pages 899-919, June.
    3. Stephen Hynes & Brian Cahill & Emma J. Dillon, 2007. "A Negative Binomial Discrete Choice Model of Forestry Recreation in Ireland," Working Papers 0709, Rural Economy and Development Programme,Teagasc.
    4. Richard Melstrom, 2014. "Valuing historic battlefields: an application of the travel cost method to three American Civil War battlefields," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 38(3), pages 223-236, August.
    5. Doshi, Amar & Pascoe, Sean, 2013. "Investigating the effects of sample heterogeneity on the travel cost model for coral diving in Southeast Asia," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152146, Australian Agricultural and Resource Economics Society.
    6. Wan-Yu Liu & Pin-Zheng Chen & Chi-Ming Hsieh, 2019. "Assessing the Recreational Value of a National Forest Park from Ecotourists’ Perspective in Taiwan," Sustainability, MDPI, vol. 11(15), pages 1-17, July.
    7. Roberto Martinez-Espineira & Joe Amoako-Tuffour, 2008. "Multi-destination and multi-purpose trip effects in the analysis of the demand for trips to a remote recreational site," EERI Research Paper Series EERI_RP_2008_19, Economics and Econometrics Research Institute (EERI), Brussels.
    8. Stephen Hynes & Cathal Buckley & Tom van Rensburg, 2007. "Recreational Pursuits on Marginal Farm Land: A Discrete-Choice Model of Irish Farm Commonage Recreation," The Economic and Social Review, Economic and Social Studies, vol. 38(1), pages 63-84.
    9. Lea Tardieu & Sébastien Roussel & Jean-Michel Salles, 2012. "Recreation demand analysis of natural areas: a revealed-preference approach," Post-Print hal-02746734, HAL.
    10. Sébastien Roussel & Jean-Michel Salles & Léa Tardieu, 2012. "Recreation Demand Analysis of the "Sensitive Natural Areas" (Hérault District, France) : A Travel Cost Appraisal using Count Data Models," Working Papers 12-30, LAMETA, Universtiy of Montpellier, revised Sep 2012.
    11. John A. Curtis, 2002. "Estimating the Demand for Salmon Angling in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 33(3), pages 319-332.
    12. Shrestha, Ram K. & Seidl, Andrew F. & Moraes, Andre S., 2002. "Value of recreational fishing in the Brazilian Pantanal: a travel cost analysis using count data models," Ecological Economics, Elsevier, vol. 42(1-2), pages 289-299, August.
    13. Dominic Moran & Esmond Tresidder & Alistair McVittie, 2006. "Estimating the Recreational Value of Mountain Biking Sites in Scotland Using Count Data Models," Tourism Economics, , vol. 12(1), pages 123-135, March.
    14. Chun-Chu Yeh & Cheng-Shen Lin & Chin-Huang Huang, 2018. "The Total Economic Value of Sport Tourism in Belt and Road Development—An Environmental Perspective," Sustainability, MDPI, vol. 10(4), pages 1-14, April.
    15. Muhammed Rasheed Irshad & Christophe Chesneau & Damodaran Santhamani Shibu & Mohanan Monisha & Radhakumari Maya, 2022. "A Novel Generalization of Zero-Truncated Binomial Distribution by Lagrangian Approach with Applications for the COVID-19 Pandemic," Stats, MDPI, vol. 5(4), pages 1-25, October.
    16. Daniel Miles, "undated". "The probability that a smoker does not purchase tobacco: A note," Studies on the Spanish Economy 15, FEDEA.
    17. Vaughan, William J. & Ardila, Sergio, 1993. "Economic Analysis of the Environmental Aspects of Investment Projects," IDB Publications (Working Papers) 6300, Inter-American Development Bank.
    18. Ojumu, Oluwagbemiga & Hite, Diane & Fields, Deacue, 2009. "Estimating Demand For Recreational Fishing In Alabama Using Travel Cost Model," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46858, Southern Agricultural Economics Association.
    19. Michael J. Hilmer & Christiana E. Hilmer, 2009. "Fishes, Ponds, And Productivity: Student‐Advisor Matching And Early Career Publishing Success For Economics Phds," Economic Inquiry, Western Economic Association International, vol. 47(2), pages 290-303, April.
    20. Onyango, Benjamin & Govindasamy, Ramu & Alsup-Egbers, Clydette Michelle, 2015. "Uncovering Success Attributes for Direct Farmers’ Markets and Agri-Tourism in the Mid-Atlantic Region of the United States," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 18(2), pages 1-16, May.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:toueco:v:20:y:2014:i:5:p:1047-1065. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.