An economic analysis of whitewater recreation on the upper Klamath River Public Deposited

http://ir.library.oregonstate.edu/concern/graduate_thesis_or_dissertations/mg74qp83c

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  • Resource managers and decisionmakers must often decide how to allocate and manage conflicting uses of scarce natural resources. In many cases, one use of a natural resource precludes alternative uses of the same resource. In order to make informed decisions regarding the allocation and management of such scarce natural resources, resource managers need reliable information on the relative value of the resource in either use as well as information on the magnitude and distribution of the economic impacts associated with each alternative use. Two papers are presented which provide estimates of the economic value and the economic impacts associated with whitewater recreation on the Upper Klamath River in southern Oregon, based on data from a 1988 user survey. The first paper uses the two predominant methods of non-market valuation to estimate the economic value of whitewater recreation on the Upper Klamath River. These techniques are the Travel Cost Method (TCM) and the Contingent Valuation Method (CVM). The TCM is adjusted to account for the multiple destination and commercial nature of many users' whitewater trip. In addition, two payment vehicles are used in conjunction with the dichotomous choice format of the CVM. These models are then compared for consistency. Results indicate that the two forms of the CVM provide consistent estimates of consumer's surplus and that adjusted TCM estimates are roughly consistent with these estimates. Results also show the extent that unadjusted TCM estimates would understate CVM and adjusted TCM consumer's surplus estimates. Finally, CVM estimates are used to estimate users' opportunity cost of time. The second paper uses primary expenditure data and the IMPLAN input-output system to examine the economic impacts associated with whitewater recreation on the Upper Klamath River. These impacts include the output, employment, and income generated in the Klamath and Jackson county region of Oregon. Estimates of impacts are generated for a range of use levels. Primary data regarding substitution behavior is utilized to adjust final demand estimates to more accurately reflect impacts. Results indicate that whitewater recreation can help to diversify a region's economy and that total impacts will be overstated if the analyst does not account for users' alternative recreation plans.
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