Using contingent valuation to determine Australian tourist's values for forest conservation in Vanuatu

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Pressure from developed nations for forest areas in developing countries to be set aside from logging is indicative of an intenational demand for forest conservation. In this study, the Contingent Valuation Method is used to estimate the value that Australian tourists place on the conservation of two rainforest areas in the Republic of Vanuatu. The study found that Australian visitors to Vanuatu would be willing to pay around $403 000 per annum to protect the rainforest sites, and that such a value was sufficient to cover the costs of lease agreements to ensure the exclusion of logging activities from these areas. This information is useful to the Government of Vanuatu, both in deciding the future use of the areas under consideration and in the development of an institutional structure to provide for the conservation option. The application of the Contingent Valuation Method in the context of estimating the value of a non-marketed environmental benefit in a developing country, provides useful lessons for future applications of the technique.




Flatley, G. W., & Bennett, J. W. (1996). Using contingent valuation to determine Australian tourist’s values for forest conservation in Vanuatu. Economic Analysis and Policy, 26(2), 111–127.

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