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Annual Fees and Recreation Choice
Author(s) -
English Eric
Publication year - 2010
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.1093/ajae/aaq035
Subject(s) - recreation , license , welfare , value (mathematics) , business , discrete choice , economics , resource (disambiguation) , public economics , microeconomics , econometrics , computer science , computer network , machine learning , political science , law , market economy , operating system
Models of recreation behavior have typically ignored the role of fixed annual fees, such as the fee for a recreational license, in determining choice and welfare. We demonstrate how techniques from the literature on discrete‐continuous choice and two‐part tariffs can address a situation where fixed annual fees are essential to determining the choice of a recreation site. We explore how accounting for value captured by fixed fees can influence the way resource changes are assessed.