The Impacts of Harmful Algal Blooms and E. Coli on Recreational Behavior in Lake Erie

37 Pages Posted: 10 Apr 2019

See all articles by David Wolf

David Wolf

University of Wisconsin - Eau Claire

Wei Chen

Renmin University of China - School of Agricultural Economics and Rural Development

Sathya Gopalakrishnan

Ohio State University (OSU)

Timothy C. Haab

Ohio State University (OSU) - Department of Agricultural, Environmental & Development Economics

H. Allen Klaiber

Ohio State University (OSU) - Department of Agricultural, Environmental & Development Economics

Date Written: March 14, 2019

Abstract

This paper simultaneously examines the effect of Escherichia coli (E. coli) and harmful algal blooms on recreational behavior using survey data collected from Ohio recreators who visited Lake Erie during the summer of 2016. Using simulation based on latent class models of recreation choice, we find beach-goers and recreational anglers lose in aggregate $7.7 million and $69.1 million respectively each year if water quality conditions were to become so poor that Lake Erie’s western basin were closed. Finally, we recover heterogeneity in recreators’ aversion towards algae and E. coli, with beach-goers more averse to E. coli and anglers more averse to algae.

Keywords: harmful algal blooms; recreation demand; Lake Erie; E. Coli; welfare

JEL Classification: Q51; Q53; Q57; C83

Suggested Citation

Wolf, David and Chen, Wei and Gopalakrishnan, Sathya and Haab, Timothy C. and Klaiber, H. Allen, The Impacts of Harmful Algal Blooms and E. Coli on Recreational Behavior in Lake Erie (March 14, 2019). Available at SSRN: https://ssrn.com/abstract=3352679 or http://dx.doi.org/10.2139/ssrn.3352679

David Wolf (Contact Author)

University of Wisconsin - Eau Claire ( email )

Accounting and Finance
Eau Claire, WI 54702
United States

Wei Chen

Renmin University of China - School of Agricultural Economics and Rural Development ( email )

59 Zhongguancun Street
Beijing 100872
China

Sathya Gopalakrishnan

Ohio State University (OSU) ( email )

Dept. of Ag, Env & Dev Economics
2120 Fyffe Rd
Columbus, OH 43210

Timothy C. Haab

Ohio State University (OSU) - Department of Agricultural, Environmental & Development Economics ( email )

2120 Fyffe Rd
Columbus, OH 43210-1067
United States

H. Allen Klaiber

Ohio State University (OSU) - Department of Agricultural, Environmental & Development Economics ( email )

2120 Fyffe Rd
Columbus, OH 43210-1067
United States

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