Original Research

The potential for monopoly rents from Etosha National Park, Namibia

Janet Ågren, Carita Nyyssölä, Jesper Stage
South African Journal of Economic and Management Sciences | Vol 6, No 3 | a3300 | DOI: https://doi.org/10.4102/sajems.v6i3.3300 | © 2019 Janet Agren, Carita Nyyssoala, Jesper Stage | This work is licensed under CC Attribution 4.0
Submitted: 31 July 2019 | Published: 30 September 2003

About the author(s)

Janet Ågren, Department of Economics, Umeå University, Sweden
Carita Nyyssölä, Department of Economics, Umeå University, Sweden
Jesper Stage, Department of Economics, Umeå University, Sweden

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This paper reports on a survey carried out among visitors to Etosha, Namibia, in May 2002. We use the contingent valuation method to estimate foreign tourists willingness to pay for visiting the park. We find that the Namibian government could raise park fees substantially and increase profits from foreign tourists by approximately N$ 2,3 million per year. If fees were raised in collusion with other governments, in order to avoid competition between countries in the region, profits could presumably be increased even further. However, the survey used to collect data on tourists willingness to pay also indicated dissatisfaction with current management of in-park resorts, and improved management of these resorts would probably be crucial for the success of any new tariff scheme.


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