University of Tasmania
Browse

File(s) under permanent embargo

The potential implications of environmental deterioration for business and non-business visitor expenditures in a natural setting: a case study of Australia's Great Barrier Reef

journal contribution
posted on 2023-05-20, 10:36 authored by Mustika, PLK, Natalie StoecklNatalie Stoeckl, Farr, M
Nature-based tourism can be an important source of income for regional economies, but relies on a healthy environment. Using data collected from business and non-business visitors to Australia's coast adjacent to the Great Barrier Reef, the authors generate estimates of the potential financial impact of environmental degradation, demonstrating a novel way of testing and controlling for hypothetical response bias. More than 90% of non-business visitors and 67% of business visitors came to the region for at least one nature-related reason. Average daily expenditure was similar for both visitor segments (about $190), but the determinants of expenditure varied. All visitors reacted much more negatively to the prospect of environmental degradation than to a 20% increase in (local) prices, although business visitors were much less responsive than non-business visitors. Adjusting for hypothetical response bias, the authors estimate that substantial environmental degradation could reduce visitor expenditures (and thus local tourism incomes) by at least 17%.

History

Publication title

Tourism Economics

Volume

22

Pagination

484-504

ISSN

1354-8166

Department/School

College Office - College of Business and Economics

Publisher

Sage Publications Ltd.

Place of publication

United Kingdom

Rights statement

Copyright 2014 The Authors

Repository Status

  • Restricted

Socio-economic Objectives

Economic issues in tourism

Usage metrics

    University Of Tasmania

    Exports

    RefWorks
    BibTeX
    Ref. manager
    Endnote
    DataCite
    NLM
    DC