The value of outdoor recreation : a case study

Resource planners are often charged with the responsibility of allocating resources between competing beneficial uses. Where one of the uses is outdoor recreation, a major problem arises in attempting to compare the benefits of outdoor recreation with the benefits of an alternative commercial use which generates readily measurable dollar benefits. On a more general level, regional planners are often faced with a similar task, for example, in setting land use policy and zoning. It is the basic premise of this thesis that recreational values can be measured, at least in part, in monetary terms, and that such measures provide extremely useful analytical tools to the planner and decision maker in evaluating resource use conflicts. The purpose of the thesis is to review and critically evaluate the various methods which have been developed for measuring outdoor recreational value, and to illustrate the application of the technique thought to be most appropriate in a case study of the recreational values generated by a portion of Wells Gray Park in British Columbia. It is concluded that the concept of consumer surplus is the most valid measure of non-priced recreation, and that where an existing recreational use is being threatened with destruction, the appropriate measure of consumer surplus for residents of the referent area is the welfare loss they would suffer through loss of the area, and that the only way to determine such values is by the use of the direct or interview approach. Further, option and preservation values can only be measured in this way. For non residents, the appropriate measure of use value is the amount users would be willing to pay for access. The area chosen for analysis is the portion of Wells Gray Park which lies within the drainage area of the Clearwater River. Wells Gray Park is a long established Class B provincial park whose main attractions are its wilderness atmosphere, spectacular waterfalls, scenic lakes and free-flowing rivers which provide high quality fishing and boating opportunities. The Clearwater River has been studied and proposed for flood control and hydroelectric power development as part of a series of similar purpose dams on the Upper Fraser, McGregor, Clearwater and Cariboo Rivers. In order to assess the recreational values which would be lost through power development, an extensive interview and mail questionnaire survey was conducted among Park users. A measure of price equivalent consumer surplus was derived from B.C. residents, while non-residents were asked to estimate their price compensating consumer surplus. Average day values for various user groups and projections of future use were used to generate an estimate of the present value of Park use under both "preservation" and "development" conditions. Aside from the discovery of large economic benefits, this research has found a significant difference in two types of commonly used shadow prices, price equivalent and price compensating consumer surplus. These findings are thought to have significant implications for regional, and particularly, outdoor recreational planning. First, it has been shown the price equivalent measures of value are much higher than price compensating measures. Second, it has been found that personal interviews ellicit far different value estimates than mail questionnaires. Third, the large absolute value of the Wells Gray Park area, even at present use levels and using a conservative method of estimating values, should encourage recreational planners and governments to give serious consideration to the provision of adequate recreational areas and facilities, even where the land required for outdoor recreation has other, competing uses and values.Applied Science, Faculty ofCommunity and Regional Planning (SCARP), School ofGraduat