Benefits of Quality Improvements in North Carolina's Water Resources

摘要

This project uses revealed preference methods to assess the monetary benefits torecreation users of ambient water quality improvements in North Carolina, focusing in particular on conventional nutrient pollutants. Specifically, data from a 1994 survey describing recreation use of water resources throughout the state of North Carolina are used to estimate a multinomial logit model of site choice. Sites in this application are defined to be 8-digit hydrological unit watersheds in the state. Linked to those watersheds are measures of water quality obtained from the EPA's Index of Watershed Indicators as well as from the STORET data repository. Results provide considerable evidence that water quality affects recreation site choice, and that users of North Carolina's water resources attach significant value to water quality improvements. Per visit benefits of significant reductions in nutrients in the Neuse River basin are estimated to be $1.97, while similar improvements in the Cape Fear basin are estimated at $2.25 per visit. These figures translate to roughly $29 million and $33 million in annual benefits, respectively.