Effects of Coral Reef Attribute Damage on Recreational Welfare

Abstract

This paper presents the results of an economic valuation of coral reef degradation at Eilat, Israeli Red Sea. We estimate the marginal prices of coral and fish diversity and water visibility at US$2.60 and US$1.20 per dive, respectively. From the standpoint of recreational diving welfare, the annual social costs of activities contributing to coral reef degradation are approximately US$2.86 million. To our knowledge, this is the first economic valuation of individual coral reef attributes and the first application of a choice experiment to coral reef valuation.

Valuing Changes in the Quality of Coral Reef Ecosystems: A Stated Preference Study of SCUBA Diving in the Bonaire National Marine Park

“…In an application most similar to ours Wielgus et al (2003) estimate the economic value of coral reef damage at Eilat Coral Beach Nature Reserve in Israel. Using a stated preference choice model and videos to convey quality changes, Wielgus et al estimate values for changes in a biological index as well as for changes in quality of water, coral cover, and diversity of species.…”

The Cost of Mediterranean Sea Warming and Acidification: A Choice Experiment Among Scuba Divers at Medes Islands, Spain

“…These included, inter alia, assessment of the economic value of coral reef attributes for the purpose of conservation (Sorice et al 2005;Schuhmann et al 2013), and estimates of the potential economic losses to scuba divers as a result of ecosystem degradation (Wielgus et al 2003;Parsons and Thur 2008;Doshi et al 2012).…”

Towards an ecosystem-based approach of Guam's coral reefs: The human dimension

“…For the tourism model, the selected ecosystem metrics are key to providing a high quality diving experience. For example, the presence or absence of charismatic species [54], such as the humphead wrasse, Cheilinus undulatus, and bumphead parrotfish, Bolbometopon muricatum; coral cover [55] (indicated by the ecosystem metric reef condition), species abundance [56], and water clarity [57] (implicitly included in reef condition, i.e., with high nutrients and/or sediments in the water column, clarity decreases and algal growth is favored over coral growth reducing the reef condition ratio).…”