Economic benefits, conservation and wildlife tourism

Abstract

Social cost-benefit analysis and economic impact analysis are prominent methods used to estimate the benefits generated by nature (wildlife) tourism. Using a simple microeconomic model, this article specifies conditions under which values obtained from economic impact analysis exceed or are less than those derived from cost-benefit analysis. It also points out why the expenditure estimates of Australian tourism research exaggerate the economic contribution of nature-based tourism to Australia. A way of maximising the economic contribution of nature-based tourism to regional and local economies is outlined. Several factors are identified that result in wildlife tourism contributing to nature conservation. This is followed by a discussion of the diversity of stakeholders in nature-based tourism and the economic challenges facing them.