Question 1: Travel Cost Model (6 points) Suppose the town of Bandon on the Oregon Coast is applying for a permit to build an ocean outfall. An ocean outfall pipes partially treated sewage out to the ocean several miles where it is discharged to be carried away by the currents. It is estimated that storms may occasionally result in shifts in ocean currents that transport the sewage back to the beach, prompting beach closures for days after the storm passes. When this occurs, the beaches will be closed for use & no one is allowed to even walk on the beach. The Oregon Parks and Recreation Department (ORPD) hires you to estimate of the cost of closing beaches in Bandon for a day. You decide to make a travel-cost study to estimate this potential change in environmental quality.

a) Describe what information you would need to collect to do the study. (4 points)

b) Graphically show how you would measure the cost of closing the beach. (2 points)