“South Asian Network for Development and Environmental Economics (SANDEE):”
Ali Dehlavi and Iftikhar Adil
Abstract
The Global 200 scientifically ranks outstanding terrestrial and aquatic ecosystems in 238 ecoregions worldwide. Keenjhar Lake, Pakistan’s largest freshwater lake and a Ramsar site, is located in the Lower Indus Basin of the Indus Ecoregion, one of the 40 priority ecoregions of the Global 200. This study applies a single-site truncated count data travel cost method to estimate access values of visitors to Keenjhar. By adding a recreational component to an existing estimate of the total economic value of Keenjhar (Dehlavi et al.,2008), the study provides an enhanced comprehensive figure with which to assess whether conservation investments are providing commensurate returns. A basic model applied to a subset of visitors using charter transportation allows analysis of impacts on welfare measurement from varying assumptions on visitors’ outset origins. The unrealistic simplifying assumption that this category of visitor does not incur travel and time costs before boarding charter transport results in an underestimate of consumer surplus values. The greatest argument for revising data collection and processing strategies in this regard is perhaps that shared and rented transportation is common in developing countries, while cost coefficients tend to figure prominently in welfare measurement irrespective of functional form.
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