Application of the Travel Cost Method to Estimate the Economic Value of Brasília National Park

Ecological parks in Brazil are facing financial difficulties due to a disputed public budget for their administration. In this context, the environmental valuation of Brasília National Park is important for the development of financing instruments. The aim of this study is to estimate the economic value of the recreational use of Brasília National Park and to determine the price–demand elasticity among visitors residing in the Federal District. This involves estimating travel costs through regression analysis using cross-sectional data collected via questionnaires administered to park visitors. The results reveal a significant impact of travel cost on park demand, in which a 1% increase in travel costs reduces the park’s visitation rate by 4.1%. The economic value of Brasília National Park was estimated at approximately USD 25 million per year, equivalent to around BRL 140 million annually, based on an exchange rate of USD 1.00 = BRL 5.50 as of April 2020.