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Determinants of the Economic Value of the Wasur National Park in Merauke District, Irian Jaya Province, Eastern Indonesia
Dissertation Abstract:
The study was conducted in the Wasur National Park (WNP) in Merauke District, Irian Jaya Province, Eastern Indonesia to determine the factors affecting the economic value of WNP. Specifically, the study addressed the following objectives: (1) assess the general levels of awareness of the respondents on the importance of the environmental attributes of WNP, (2) estimate the willingness to pay (WTP) of the off-site users and the willingness to accept (WTA) compensation of the onsite users for the protection of WNP, and (3) identify the determinants that influence individuals’ WTP and WTA compensation for the protection of WNP.
Primary and secondary data were used in the study. Primary data were collected from July 1999 to May 2000. The two-stage stratified random sampling was used to select the respondents of the study. The first stage was the selection of the sub-districts to be included in the study. This was done on purposive basis. For the second stage, 30 households were randomly drawn from each sub-district. Thus, a total of 150 households wereincluded in the sample (90 off-site and 60 on-site).
The Likert scaling was used to assess the general levels of awareness of off-site users. The majority of the respondents were aware of the WNP reservation. This knowledge can be attributed to its various uses and its effect on the community.
Descriptive statistics, Tobit analysis, and multiple regression analysis were used to analyze the data gathered. SHAZAM software was used for Tobit and multiple regression analysis.
Two alternative contingent valuation methods (CVM) were used, namely: willingness to pay (WTP) and willingness to accept (WTA) compensation to determine the value of the park.
Mean values of WTP quoted by all off-site respondents to preserve WNP was IDR78,263.89. On the other hand, for all on-site respondents, the average value of WTA compensation to leave WNP was IDR9.49M.
Results of the Tobit regression analysis indicated that WTP values were affected positively by household income, educational attainment, and dummy variable water consumption. Age of respondents affected WTP values negatively.
Results of multiple regression analysis pointed out that WTA values were affected positively by age of respondents, educational attainment, farm income, and number of trees planted. Household income affected WTA negatively.
The common variables that affected WTP and WTA compensation were age, educational attainment, and household income. These variables were considered the determinants of the economic value of WNP.
Results of the study can be used as basis for policy recommendation of the management of the WNP so that it can continuously provide benefits to people not only in Irian Jaya but also to all others who love to enjoy nature.