Estimating the economic benefit of SCUBA diving in the Similan Islands, Thailand

Abstract

This article reports the results of the travel cost model using the standard and the truncated count data models to estimate the economic value of the Similan Islands, Thailand, from SCUBA diving. The estimated consumer surplus per visit to the Similan Islands using the truncated negative binomial model was US$3,233 and the economic value of the Similan Islands from SCUBA diving was estimated to be up to US$54.96 m. This study shows that, even without non-use values, coral reefs of the Similan Islands, if properly managed and maintained, will continue to have significant value to both Thai and overseas SCUBA divers, as one of the natural treasures of the world.