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A Panel Travel Cost Model Accounting for Endogenous Stratification and Truncation: A Latent Class Approach

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  • Stephen Hynes
  • William Greene

Abstract

In this paper, we develop a panel data negative binomial count model that corrects for endogenous stratification and truncation. We also incorporate a latent class structure into our panel specification, which assumes that the observations are drawn from a finite number of segments, where the distributions differ in the intercept and the coefficients of the explanatory variables. The paper argues that count data panel models corrected for on-site sampling may still be inadequate and potentially misleading if the population of interest is heterogeneous with respect to the impact of the chosen explanatory variables.

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  • Stephen Hynes & William Greene, 2013. "A Panel Travel Cost Model Accounting for Endogenous Stratification and Truncation: A Latent Class Approach," Land Economics, University of Wisconsin Press, vol. 89(1), pages 177-192.
    • Handle: RePEc:uwp:landec:v:89:y:2013:i:1:p:177-192
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    Citations

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    Cited by:

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    2. Katsuhito Nohara & Masaki Narukawa & Akira Hibiki, 2021. "Using contingent behavior analysis to estimate benefits from coral reefs in Kume Island, Japan: A Poisson-inverse Gaussian approach with on-site correction," TUPD Discussion Papers 1, Graduate School of Economics and Management, Tohoku University.
    3. Voltaire, Louinord & Koutchade, Obafèmi Philippe, 2020. "Public acceptance of and heterogeneity in behavioral beach trip responses to offshore wind farm development in Catalonia (Spain)," Resource and Energy Economics, Elsevier, vol. 60(C).
    4. Weiwei Liu & Kevin J. Egan, 2019. "A Semiparametric Smooth Coefficient Estimator for Recreation Demand," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(3), pages 1163-1187, November.
    5. George Halkos & Panagiotis Stavros Aslanidis & Angelos Plataniotis & Phoebe Koundouri, 2024. "Global insights on Sustainable Development Goal 14: Reviewing willingness-to-pay levels for marine ecosystem protection and conservation," DEOS Working Papers 2416, Athens University of Economics and Business.
    6. Curtis, John & Stanley, Brian, 2015. "Water Quality and Recreational Angling Demand in Ireland," Papers WP521, Economic and Social Research Institute (ESRI).
    7. Mónica Moreno-Gutiérrez & Víctor Hernández-Trejo & Ramón Valdivia-Alcalá & Judith Juárez-Mancilla & Plácido Roberto Cruz-Chávez & Ulianov Jakes-Cota, 2024. "Linking Tourist Willingness to Pay and Beach Management: A Travel Cost Analysis for Balandra Marine Park, Mexico," Tourism and Hospitality, MDPI, vol. 5(4), pages 1-20, October.
    8. Grilli, Gianluca & Curtis, John & Hynes, Stephen & Landgraf, Gavin, 2017. "The value of tourist angling: a travel cost method estimation of demand for two destination salmon rivers in Ireland," Papers WP570, Economic and Social Research Institute (ESRI).
    9. Tobias Börger & Kolobe Mmonwa & Danny Campbell, 2024. "Hazardous human–wildlife encounters, risk attitudes, and the value of shark nets for coastal recreation," American Journal of Agricultural Economics, John Wiley & Sons, vol. 106(2), pages 925-945, March.
    10. Massimo Filippini & William Greene & Adan L. Martinez-Cruz, 2018. "Non-market Value of Winter Outdoor Recreation in the Swiss Alps: The Case of Val Bedretto," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 71(3), pages 729-754, November.
    11. Chen, Wei & Wolf, David M. & Gopalakrishnan, Sathya & Haab, Timothy C. & Klaiber, Allen, 2018. "The Impact of HABs on Recreational Visits to Lake Erie," 2018 Annual Meeting, August 5-7, Washington, D.C. 274026, Agricultural and Applied Economics Association.
    12. Deely, John & Hynes, Stephen & Cawley, Mary & Hogan, Sarah, 2023. "Modelling domestic marine and coastal tourism demand using logit and travel cost count models," Economic Analysis and Policy, Elsevier, vol. 77(C), pages 123-136.
    13. Stephen Hynes & William Greene, 2016. "Preference Heterogeneity in Contingent Behaviour Travel Cost Models with On-site Samples: A Random Parameter vs. a Latent Class Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 67(2), pages 348-367, June.
    14. Hynes, Stephen & O'Reilly, Paul & Corless, Rebecca, 2015. "A comparison of an on-site versus a household survey approach to modelling the demand for recreational angling," Working Papers 262591, National University of Ireland, Galway, Socio-Economic Marine Research Unit.
    15. Kavita Sardana, 2021. "Double truncation in choice-based sample: An application of on-site survey sample," Economics Bulletin, AccessEcon, vol. 41(2), pages 781-787.
    16. Hynes, Stephen & Gaeven, Rainey & O'Reilly, Paul, 2017. "Estimating a Total Demand Function for Sea Angling Pursuits," Ecological Economics, Elsevier, vol. 134(C), pages 73-81.
    17. Ian B. Page & Erik Lichtenberg & Monica Saavoss, 2020. "Estimating Willingness to Pay from Count Data When Survey Responses are Rounded," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 75(3), pages 657-675, March.
    18. Paul Hindsley & Craig E. Landry & Kurt Schnier & John C. Whitehead & Mohammadreza Zarei, 2021. "Joint Estimation of Revealed Preference Site Selection and Stated Preference Choice Experiment Recreation Data Considering Attribute NonAttendance," Working Papers 21-10, Department of Economics, Appalachian State University.
    19. Nobel, Anne & Lizin, Sebastien & Witters, Nele & Rineau, Francois & Malina, Robert, 2020. "The impact of wildfires on the recreational value of heathland: A discrete factor approach with adjustment for on-site sampling," Journal of Environmental Economics and Management, Elsevier, vol. 101(C).
    20. Breen, Benjamin & Curtis, John & Hynes, Stephen, 2017. "Recreational Use of Public Waterways and the Impact of Water Quality," Papers WP552, Economic and Social Research Institute (ESRI).
    21. Hynes, Stephen & O’Reilly, Paul & Corless, Rebecca, 2015. "An on-site versus a household survey approach to modelling the demand for recreational angling: Do welfare estimates differ?," Ecosystem Services, Elsevier, vol. 16(C), pages 136-145.
    22. Jamal Othman & Yaghoob Jafari, 2019. "Economic Valuation of an Urban Lake Recreational Park: Case of Taman Tasik Cempaka in Bandar Baru Bangi, Malaysia," Sustainability, MDPI, vol. 11(11), pages 1-15, May.

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    JEL classification:

    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

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