TABLE 2 Range of [alpha] + [beta] within 90% Confidence Intervals of Turning Point Income Estimated by Grossman and Krueger (1995) BOD (a) COD (b) $7,623 $7,853 (3,307) (2,235)

Income Elasticity of Lower limit Upper limit Lower limit WTP $2,166 $13,079 $4,165 [[epsilon].

Further, we reject the hypothesis of

income elasticity homogeneity within our sample.

We raise the short-term

income elasticity of consumption by 0.

Income elasticity is seen to be greater than unity implying that velocity has a decreasing trend.

Estimate Obs Mean Dev Min Max

Income elasticity 3,900 -0.

The income coefficient corresponds to an

income elasticity of demand for season ticket packages of 2.

One might think that this calculation is too simple and that this estimated

income elasticity of demand for leisure time too high.

The short-run

income elasticity showed the expected positive sign, but it was not statistically significant.

Income-Weighted Gross

Income Elasticity Estimates without Adjacent-Year Controls: 1989-1995 Years between Paired Observations One Income Cutoff $10k $50k Income Controls (1) (2) None -0.

Income elasticity of WTP is estimated to determine whether willingness to pay for improved aesthetic values through the removal of billboards increases more than proportionally with income.

A similar approach is used to calculate the average

income elasticity.

This is particularly relevant for food expenditure, which has low

income elasticity but a high degree of substitutability with non-market time.