A Cost-Benefit
Analysis of Land
Diversity at the Mead
Preliminary Research from a
Problem-Based
Environmental Economics
Service Learning Project
Outline
Eco 342: Environmental Economics
Service Learning Project (SLP)
 History of George W. Mead Wildlife Area
 Cost-Benefit Analysis (CBA)

 Problem
 Costs
 Survey
of Benefits
 Preliminary Results
Wisconsin Economic Association: December 4, 2010
SLP Fall 2009: 11th Hour


Began conversations mid-October
Tom Meier (Property Manager) and Pam
Resech (Educational Coordinator) at the Mead
helped design the service learning project.
 Provide
an economic assessment of land diversity at
the Mead
 Volunteered labor as a class

Class voted on project October 28th
Wisconsin Economic Association: December 4, 2010
SLP Fall 2009: Design

Project Timeline and Deadlines
 Project



Outline (Nov 3rd HW)
Define the question and alternative
Consider data collection
List benefits and Cost considerations
review on benefit topic (Nov 17th HW)
 Cost measure questions (Dec 1st)
 Survey questionnaire (Dec 7th)
 Combine Intro and research design (Dec 14th)
 Literature
Wisconsin Economic Association: December 4, 2010
SLP Fall 2009: Volunteer

November 6th: Brushed trails and dikes

December 4th: Cleared Buckthorn
Land diversity relies heavily on labor.

Wisconsin Economic Association: December 4, 2010
History of the Mead



1850s-1910s: Logging
“pinery“ and farm
dredging
1933: Consolidated
Water Power and Paper
Company purchase
April 10, 1959: Stanton
Mead gifts 20,000 acres
to the state for use as a
wildlife refuge.
Wisconsin Economic Association: December 4, 2010
History of the Mead
Wisconsin Economic Association: December 4, 2010
WI DNR: State Managed Lands

Land Types
 State
Parks
 State Forests
 State Trails
 State Natural Areas
 County Parks and
Forests
 Wildlife Areas
Source http://dnrmaps.wi.gov/DNRManagedLands/
Wisconsin Economic Association:
December 4, 2010
WI DNR: Wildlife Areas

Section 23.09 (2) (d) 3., State Stats., provides legislative authority and direction for
the acquisition and management of state wildlife areas. The primary purpose of state
wildlife areas as stated in this statute is to provide "areas in which any citizen may
hunt, trap or fish". Section 23.11 (1), Stats., provides for the general care, protection
and supervision of state lands. Section 23.30, Stats., deals with the provisions of the
outdoor recreation program.

The management and uses of state wildlife areas are further defined in NR 1.51. WI
Admin Code. While hunting and trapping are the primary public uses for wildlife
areas; other uses, such as walking, nature study, berry picking, and other low-impact
recreational activities are also allowed. Other compatible open-space uses may be
allowed under the property’s Master Plan when they do not detract from the primary
purpose of the property; however, they may be limited in time and location to avoid
interference with wildlife production or survival and public hunting and trapping.
Wisconsin Economic Association: December 4, 2010
CBA:Land Diversity Overview

Should Mead land diversity be maintained?

Approximately 33,000 Acres
 1/3
Forests
 1/3 Grasslands/Crops
 1/3 Wetlands/Water

Sunk Costs of $2 Million to create ponds, dykes,
repair natural watershed, trails, and water
control systems.
Wisconsin Economic Association: December 4, 2010
CBA: Costs

Annual costs to retard tree growth







Equipment:
Burning:
Spraying:
Mowing:
Dozing & Mulching:
Hand Brushing:
$35,000
$3,000
$20,000
$1,500
$1,750
$1,000
Annual costs to maintain wetlands


Dike and equipment repair
Total
$15,000
$77,250
Wisconsin Economic Association: December 4, 2010
CBA: Benefits

Benefits of Land Diversity
Use Values (7 categories)






Hunting
Birding
Wildlife Watching
Hiking & Biking
Trapping
Education Opportunities
Non-Use Values (2 categories)


Future Generations
Existence Value
Wisconsin Economic Association: December 4, 2010
CBA: Survey Design
Contingent valuation survey questions directed at
 Donation
Preliminary results
 Toward WA with diverse lands

 $5

Toward WA entirely forested
fee increase
Preliminary results
To fund diverse lands
 Binary preference
 Land diversity or entirely forested
 Number of visits (30 minutes)
 To WA with diverse lands
 To WA entirely forested
Wisconsin Economic Association: December 4, 2010
CBA: Survey Results
How much would you donate? (all 9 categories)
0
Density
.01
Kernel density estimate
-50
0
50
100
150
200
250
Value of Land Diversity
300
kernel = epanechnikov, bandwidth = 25.0000
Wisconsin Economic Association: December 4, 2010
350
400
CBA: Survey Results
How much would you donate? (7 use categories)
0
Density
.01
Kernel density estimate
-50
0
50
100
150
200
250
Use value of Land Diversity
300
kernel = epanechnikov, bandwidth = 25.0000
Wisconsin Economic Association: December 4, 2010
350
400
CBA: Survey Results
How much would you donate? (2 non-use categories)
0
Density
.01
Kernel density estimate
-50
0
50
100
150
200
250
Non-Use value of Land Diversity
300
kernel = epanechnikov, bandwidth = 25.0000
Wisconsin Economic Association: December 4, 2010
350
400
CBA: Survey Results
10
5
0
Percent
15
20
Would you support a temporary $5 fee increase?
0
.2
.4
.6
Percent of categories in favor of temporary $5 fee
Wisconsin Economic Association: December 4, 2010
.8
CBA: Survey Results
0
.2
.4
.6
.8
Would you support a temporary $5 fee increase?
mean of perc_don_hunt
mean of perc_don_wild
mean of perc_don_hike
mean of perc_don_educ
mean of perc_don_bird
mean of perc_don_bike
mean of perc_don_trap
Wisconsin Economic Association: December 4, 2010
CBA: Other Costs and Benefits

Costs/Benefits Issues not explicitly measured or
in survey
 Timber
Rotations
 Timber & Crop Prices
 Game Warden Monitoring
 Maintenance of Invasive Species
 Grants and Funding Sources
 State endangered species
 Share cropping of 500 acres/year
Wisconsin Economic Association: December 4, 2010
CBA: Survey

Survey is young
Additional respondents next semester
 Need to reach a larger audience

Appropriate population for the question
 Sensitivity analysis of questionnaire

Donation(50%)
 $5 (0% to 95%)


Questions?
Wisconsin Economic Association: December 4, 2010