Comparing Travel Cost Models and the Precision of their Consumer Surplus Estimates: Albert Park and Maroondah Reservoir.

This study examines different types of Travel Cost Models to estimate and compare the recreational values of two parks in Victoria, Australia: Maroondah Reservoir and Albert Park. Zonal Travel Cost models and a number of different functional forms are used in this study. Standard errors are used to estimate upper and lower bounds for the recreational value estimates, enabling comparison between the precision of the different types of Travel Cost Models and functional forms estimated. The double log functional form city zone Travel Cost Model provides the most precise estimate for Albert Park's recreational value at $19.2 million per year. Maroondah Reservoir's most precise estimate is provided by the double log functional form regional zone Trave Cost Model at a value of $2.2 million per year, considerably less than that of Albert Park. Albert Park is found to have a comparatively larger 'proximity power' (attracting many more visitors) while Maroondah Reservoir exhibited a larger degree of 'pulling power' (a higher proportion of its visitors travel further distances).