| By: |
Carlo Fezzi (CSERGE, School of Environmental Sciences, University of East Anglia);
Ian J. Bateman (CSERGE, School of Environmental Sciences, University of East Anglia) |
| Abstract: |
The opportunity Value of Travel Time (VTT) is one of the most important parts
of the total cost of day-long recreational activities and arguably the most
difficult to estimate. While numerous studies have criticized the use of
salaries to proxy the relevant shadow values, a consensus on an alternative
measure still has to emerge. This paper uses a revealed preference approach to
estimate the VTT for recreational trips by modeling individuals' preferences
for toll roads and deriving their willingness-to-pay to reduce travel time.
Our case-study sites are three beaches located in the Italian Riviera
Romagnola, whose road network is a mix of toll and free access roads. By
carrying-out face-to-face interviews, we reconstruct respondents' routes,
indentify their time-cost trade-offs and ultimately estimate their VTT.
Results show considerable heterogeneity in values with the VTT for day-long
recreational visits being significantly higher than the one of longer holidays. |
| Keywords: |
Value of Time, Value of Travel Time Savings, Recreation Demand Models, Revealed Preferences, Willingness to Pay Space |
| JEL: |
Q50 |
| Date: |
2013–06 |
| URL: |
http://d.repec.org/n?u=RePEc:fem:femwpa:2013.64&r=tur |