Recreation
Lake State Examples - Other Examples         
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Lake States Examples:

Chen, R. J., P. Bloomfield and J. S. Fu. 2003. "An Evaluation of Alternative Forecasting Methods to Recreation Visitation." Journal of Leisure Research 35(4):441-454.

This study examines the advantages and disadvantages of basic, intermediate and advanced methods for visitor use forecasting were seasonality and limited data are characteristics of the estimation problem. The monthly use rates at the Milwaukee County Zoo are used to illustrate the seasonal time series techniques. Forecasting methods evaluated include: two naive techniques, a single moving average (SMA) with the classical decomposition procedure, single exponential smoothing (SES), double exponential smoothing (DES, Winter's, and the seasonal autoregressive integrated moving average (SARIMA). SARIMA and SMA are found to the most appropriate methods in this case study. A useful comparative table is included listing the advantages and disadvantages of each method for predicting seasonal visitor patterns depending on the quality and characteristics of the data available for analysis.

Murray, C. and B. Sohngen. 2001. "Valuing Water Quality Advisories and Beach Amenities." Water Resources Research 37(10):2583-2590.

This paper present estimates of the value of reducing beach advisories along Lake Erie's shoreline in Ohio. Using a travel cost model, the seasonal benefits of reducing one advisory is estimated. A random utility model is linked to a Poisson model that predicts annual trips based on individual willingness to pay and other individual characteristics. Individuals who use the media in advance of trips gain less, approximately $24 per year, while those who use only signs posted at the beach would gain more, $38 per year.

Stynes, D., Y.-Y. Sun and D. R. Talhelm. 2000. Michigan Golf Tourists - Economic Impacts. East Lansing, MI: Department of Park, Recreation & Tourism Resources, Michigan State University. Web Link.

This study evaluates the economic impact of golf tourists on the Michigan State economy in 2000. Date from a spending survey of golfers and a survey of golf course managers to estimate rounds of golf in 2000 was combined in the Michigan Tourism Economic Impact Model to estimate total spending and the economic impacts on state and local economies. Total economic impact to the Michigan economy is significant with golfers generating almost $400 million income and almost 24,200 jobs with their spending. Of that, approximately $158 million of the income impact was the result of "travel rounds" (greater than 60 miles from home).

Prey, J. and T. Lohr. 1988. The Wisconsin Water Quantity Resources Management Plan: Report No. 5, Economic Overview of Wisconsin Water Resources. Madison, WI: Bureau of Water Resources Management, Department of Natural Resources.

This report compiled and analyzed existing economic impact literature related to Wisconsin's water resources. Six economic sectors were examined to understand the impact of water resources including aesthetics and recreation, commercial fishing, commercial navigation, industrial, irrigation and agriculture, and power generation. The report concludes that water is a key factor in the state's economy and additional research is necessary for a better detailed quantification of economic value of water.

Bubul, S., R. Lintz and A. Somersan. 1978. Impacts of Recreation and Tourism on the Local Economy: Case Studies of Minocqua, Woodruff and Algoma. Madison, WI: Recreation Resources Center, University of Wisconsin-Extension.

In terms of local economic impact, this study found that the three communities experienced different levels of impact. There are similarities in the type of businesses for which direct benefits accrue. In fact, sixty percent of the direct benefits accrued to four business categories: lodging; eating and drinking places; automobile and gas; and food stores. Indirect benefits were substantial in each community and were recreation-oriented.

Phillips, G. D. 1977. Environmental Assessment of the Kickapoo River Impoundment II: An Assessment of Economic Impact. IES Report 91. Madison, WI: Institute for Environmental Studies, University of Wisconsin.

This report empirically examines the impact of the proposed and then terminated Kickapoo River flood control and recreation reservoir project. The report is divided into six parts. Part one analyzes real estate activity in the area of the site using an econometric model. Part two examines the developmental experience of other man-made lakes in the area. Part three uses a qualitative analyses to examine the experience of six villages in the vicinity of the dam. Part four examines the effect on local highways from recreation use. Part five analyzes the impact of land acquisition for the project on the local property tax base, fiscal capacity and current property tax burden. Finally, in part six, alternative development plans are studied to see if they might provide economic benefit to the area. This report offers a methodology that can be used for evaluating projects in advance of construction.

Huddleston, J., R. Mueller, J. Seet and A. Somersan. 1975. Economic Impact of Recreation in the Coastal Zone, (Interim Report - First Year). Madison, WI: State Planning Office.

This first year summary report is part of a three year study to assess public policy objectives within the Coastal Zone Management Program. This report identifies major policy areas with regard to recreation, examines the demand and supply of recreation, presents a number of methodologies, and provides an outline for year two of the study. Business sales for residents and non-residents for each county in the coastal zone will be generated to provide a data base for analysis. This data base will be used to assess recreation impact.

Recreation Resources Center. 1975. A Regional Study of Recreation Travel Behavior and Participation Patterns. Madison, WI: University of Wisconsin-Extension, Department of Agricultural Economics, and the College of Agricultural and Life Sciences.

This study reported on the travel patterns and recreational activity of travelers and users in a nine-state region of the Upper Midwest. The report provided information about the visitors' socioeconomic characteristics, their recreation interests, and their travel patterns. This information was intended for governmental agencies, the private sector, and the tourism industry to better plan for and market the Upper Midwest for recreational activities.

Natural Resources Economics Division - Economic Research - U.S. Department of Agriculture. 1974. Characteristics and Recreational Participation Patterns of Low Income, Inner City Residents. Madison, WI: Recreation Resources Center, University of Wisconsin-Extension.

This report looked at low income, inner city residents in Milwaukee, WI to understand their recreational participation patterns for future planning and expenditure. The report provided a demographic profile of residents. Recreation patterns were divided into five types of activities related to age and position in family. Fishing was the highest ranked activity. The top constraint in pursuing recreational activities was not enough time.

Ditton, R. B. 1972. The Social and Economic Significance of Recreation Activities in the Marine Environment. Technical Report No. 11. Green Bay, WI: University of Wisconsin Sea Grant Program.

In this short, eight page essay, the author emphasizes the importance of recreation in the coastal zones and encourages better evaluation of the social and economic impacts that are needed before recreational use can be valued in the coastal zones of the U.S.

Strang, W. A. 1970. Recreation and the Local Economy: An Input-Output Model of a Recreation-Oriented Economy. Madison, WI: Graduate School of Business, University of Wisconsin-Madison.

This report prepared a static input-output table of Door County to model the effects of recreation on that economy. The report detailed the construction of the table and the data gathering techniques and presented the Door County input-output tables including the transactions table, the input coefficient table and the multiplier table. The final section of the report examined the short-term economic impact of tourism on the Door County economy. The report found that tourism contributed $28 million annually to the local economy.

Other Examples:

Stynes, D. and E. M. White. 2004. Spending Profiles of National Forest Visitors, 2002 Update. East Lansing, MI: USDA Forest Service, Department of Park, Recreation & Tourism Resources, Michigan State University. Web Link.

This report presents national forest visitor spending profiles developed from the National Forest Visitor Use Monitoring project surveys collected between January, 2000 and September, 2002. National average spending profiles are developed for seven trip type segments: day trips and overnight trips involving stays on and off the forest for local and non-local visitors, and visitors whose primary trip purpose was not recreation on the forest. Distinct spending profiles are also estimated for high and low spending areas and for selected recreation activity subgroups.

English, D. B. K., W. Kriesel, V. R. Leeworthy and P. C. Wiley. 1996. Economic Contribution of Recreation Visitors to the Florida Keys / Key West. Monroe County Tourist Development Council, National Oceanic and Atmospheric Administration, University of Georgia, U.S. Forest Service, The Nature Conservancy. Web Link.

This report analyses the impact of recreational use, by both residents and visitors, of the Florida Keys and Florida Bay on the economy of the local county and region. At the regional level the authors used a input-output model based on IMPLAN. However, at the county level it was determined that IMPLAN was overestimating the economic impacts and more simplistic wage-to-sales and wages-to-employment ratios were used to calculate economic impact. This paper provides a good layperson's description of the concept and process of input-output modeling.

Loomis, J. B. 1995. "Four Models for Determining Environmental Quality Effects on Recreational Demand and Regional Economies." Ecological Economics 12(1995):55-65.

This paper addresses the paucity of research which links recreational demand modeling with regional economic analysis modeling. The choice to participate in a recreational activity at a particular site are based on four related recreation choices: 1) decision to participate in a given recreation activity; 2) decision about which of the available sites to visit; 3) decision about the frequency of trips to take to a given site; and 4) decision about length of stay at the recreation site. Each of these four recreational choice decisions is related to and influenced by environmental quality and site facilities. When modeling the economic impact of the improvement (or degradation) of environmental quality or site facilities it is important to consider all four factors or risk underestimating the economic impact of the change.

Lieber, S. R., D. R. Fesenmaier and R. S. Bristow. 1989. "Recreation Expenditures and Opportunity Theory: The Case of Illinois." Journal of Leisure Research 21(2):106-123.

This paper investigates the factors that affect decision making of recreators. In particular the spatial context within which recreators make destination choices in considered. The relative effects of site characteristics are compared to the spatial context using a multiple regression model. Significantly, the results show that agglomerative effects and contextual effects of spatial structure are the principal factors influencing per person per day expenditure levels. The number of other facilities within 20 miles of the chosen destination had the most impact on per person per day expenditures. Facility development was shown to be the dominant predictive force in accounting for the level of expenditures.

Ribaudo, M. O. and D. J. Epp. 1984. "The Importance of Sample Discrimination in Using the Travel Cost Method to Estimate the Benefits of Improved Water Quality." Land Economics 60(4):397-403.

This paper presents an application of the travel cost method to estimate the value of a recreation site with some hypothetical improvement in water quality. Particular attention is paid to the appropriate survey method. Simply surveying current users with contingent valuation questions would not capture the values of users who may have stopped using the site due to its current poor condition. It is hypothesized that these two groups will value water quality improvements differently and valuation result from one group cannot be inferred for the other. Ordinary least squares regression was used to estimate the demand equations for each group and they were found to be significantly different.

Dwyer, J. F. and R. D. Espeseth. 1977. Improved Local Planning for Reservoir Orientated Recreation Opportunities. Research Report Urbana, IL: Water Resources Center, University of Illinois.

This report looks at the actual impact of the construction of the Lake Shelbyville reservoir. Prior to construction there were relatively high expectations as to the number of recreationists likely to visit Lake Shelbyville on an annual basis - 4.7 million - who would spend on average $3.4 dollars per day. The Lake had no real discernible impact on county population trends nor income levels and total number of visitors has been approximately 3 million on average. The study uses various indirect measuring techniques to determine weather recreationists of have much economic impact on the surrounding communities. Quarterly tax revenue was used to create location quotients by sector and regression analysis of total monthly sales was conducted. Some minimal impact from recreation activities was detected. In summary, the impacts of recreationists on the local economy is estimated to be between $2 - $4.2 million, which is much less than the $15 million originally predicted.

Dwyer, J. F., J. R. Kelly and M. D. Bowes. 1977. Improved Procedures for Valuation of the Contribution of Recreation to National Economic Development. Research Report 128. Urbana, IL: Water Resources Center, University of Illinois.

This report written in the context of national economic development, provides a lengthy description of two techniques commonly used to determine the value of recreation resources by calculating consumer willingness to pay: a straightforward survey method and the travel cost method. This report advocates strongly for the use of the travel cost method.

Stevens, T. H. and R. J. Kalter. 1970. Technological Externalities, Outdoor Recreation, and the Regional Economic Impact of Cayuga Lake. A. E. Res. 317. Ithaca, NY: Department of Agricultural Economics, Cornell University Agricultural Experiment Station, New York State College of Agriculture.

This study quantified the economic impact of Cayuga Lake in New York State on the regional economy. A demand allocation model was developed based on nationwide survey of preferences for recreation use. Both willingness-to-pay and estimated direct and indirect expenditures were then calculated based the demand allocation model and results from other studies. The final results provided an estimate of the total economic impact of recreation on Cayuga Lake and provided a baseline for estimating how a proposed thermal plant might affect the regional economic impact of recreationists.

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