Indian Journal of Economics and Development

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Economic Evaluation of Foy's Lake, Chittagong Using Travel Cost Method


Affiliations
1 Institute of Forestry and Environmental Science (IFES), University of Chittagong, Chittagong-4331, Bangladesh
 

Background: Economic evaluation of non-market goods is challenging and can't be calculated using traditional method. In this study, Travel Cost Method (TCM) was used to evaluate the economic value of Foy's Lake of Chittagong.

Methods: A total of 200 respondents from the visitor of this lake were interviewed on the basis of day of visit (week day: 100, weekend: 100) using structured questionnaire. The collected data were analyzed using SPSS v 20 and R v 3.2.1.

Findings: A multiple regression model was developed using the analysis which had a R2 value of 0.084. Family size and Total cost of visitors were found significant with a p-value of 0.05. The estimated value for Foy's Lake for 2014 was worth 294165270 BDT (Bangladeshi Taka) (or 3792034.49 US $).

Applications: By applying the model, derived from this study can be used to assess the economic value by revealed preference method of artificial lakes in this region.


Keywords

Economic Evaluation, Travel Cost Method, Revealed Preference, Foy’s Lake.
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  • Economic Evaluation of Foy's Lake, Chittagong Using Travel Cost Method

Abstract Views: 290  |  PDF Views: 174

Authors

Kamrul Islam
Institute of Forestry and Environmental Science (IFES), University of Chittagong, Chittagong-4331, Bangladesh
Sahadeb Chandra Majumder
Institute of Forestry and Environmental Science (IFES), University of Chittagong, Chittagong-4331, Bangladesh

Abstract


Background: Economic evaluation of non-market goods is challenging and can't be calculated using traditional method. In this study, Travel Cost Method (TCM) was used to evaluate the economic value of Foy's Lake of Chittagong.

Methods: A total of 200 respondents from the visitor of this lake were interviewed on the basis of day of visit (week day: 100, weekend: 100) using structured questionnaire. The collected data were analyzed using SPSS v 20 and R v 3.2.1.

Findings: A multiple regression model was developed using the analysis which had a R2 value of 0.084. Family size and Total cost of visitors were found significant with a p-value of 0.05. The estimated value for Foy's Lake for 2014 was worth 294165270 BDT (Bangladeshi Taka) (or 3792034.49 US $).

Applications: By applying the model, derived from this study can be used to assess the economic value by revealed preference method of artificial lakes in this region.


Keywords


Economic Evaluation, Travel Cost Method, Revealed Preference, Foy’s Lake.