Non-market value of recreational areas for hiking: the case of the Apennines around Parma

Abstract

ABSTRACTThe recreational value of mountain areas is an important non-market service provided by forest ecosystems. However, as with other public goods, the lack of a market typically leads to underprovision. In this study, we combine the travel cost and the contingent behaviour methods to evaluate the recreational value of the Western part of the Apennines around Parma (Italy), a free-access area of great natural beauty which also qualifies as a marginal area, under current and hypothetical conditions. Using the data collected through an online survey of 113 visitors of the area and the estimated parameters from a truncated negative binomial regression, we find that the recreational value of the site under current conditions is equal to 187 euro per visitor per year, corresponding to an overall value of 374,340 euro for all the hikers visiting the area each year. Moreover, the provision of additional services such as the creation of wellbeing trails may significantly increase the value of the site (+32.8%). The results from this analysis suggest that policymakers may wish to invest in natural resources to support the economic development of marginal areas.