This research is to estimate the recreation demand functions of four Jeollabuk-do provisional parks where ten-year basic plans are being established, and benefits that visitors would receive by visiting the parks by using an individual travel cost method which is one of non-market good valuation methods.
In order to estimate recreation demand function of provincial parks which is a non-market good, we examined the supply theory of private market goods and examined extended application to non-market goods in stages.
We inquired into preceding research and conducted empirical analysis on it by expanding the definition of price variable which is the most important explanatory variable in estimating recreation demand function from the simplest distance variables to the addition of transportation cost, time opportunity cost, and on-site cost. We analyzed the impact of population statistical variables and visit characteristic variables of visitors which is another explanatory variable besides prices.
In order to collect data for the research, we conducted a survey of Jeollabuk-do provincial parks'' visitors'' utilization of manners on August, November 2011 and May 2012 for a total of 3 times, and it was conducted on visitors at the exit of each park, and the data was divided into weekdays and weekends.
We estimated recreation demand functions of each park by distinguishing forms of the function in linear, semi-log, and double-log by using the ordinary least square with travel cost data and consideration given to frequency of visit for last year, monetary cost, and time cost from the place of residence to a park. Price variations - estimated in stages, coincided with Economic theory and were statistically significant. However, income variations were only statistically significant in Seonun-san provincial park, and population statistical characteristic variables and visit characteristic variables happened to be different for each park.
Price elasticity of recorded demand function was about -0.1 to -0.7 which represents inelasticity, and especially Moak-san, where most of its visitors are residents of the surrounding area, had the most inelastic price elasticity.
The annual benefits per capita of visiting Jeollabuk-do provincial parks were measured as 598,084 won for Moak-san, 391,321 won for Seonun-san, 326,786 won for Daedun-san, and 408,661 won for Mai-san. Also, the benefits for each of the visits were measured as 17,286 won for Moak-san, 75,254 won for Seonun-san, 69,529 won for Daedun-san, and 104,785 won for Mai-san. This data was calculated by using estimated coefficients of the demand function.