Contingent Valuation and Random Utility Model Estimates of the Recreational Value of King Mackerel

Abstract

This paper estimates the value of king mackerel bag limit changes with both stated and revealed preference methods. The 1997 Marine Recreational Fishery Statistical Survey allows estimation of the value of avoiding bag limit reductions with the random utility model and the contingent valuation method. Using the contingent valuation method, the willingness to pay to avoid a one fish reduction in the bag limit is $2.45 per year. Using the random utility model, the willingness to pay to avoid a one fish reduction in the bag limit for a two-month time period is$10.83. Considering several methodological issues, the difference in willingness to pay between the stated and revealed preference methods is in the expected direction.