Contingent valuation of urban public space: A case study of Ljubljanica riverbanks

The article presents an economic valuation of the Ljubljanica riverbanks area, which is an urban cultural landscape with distinct qualities of international importance. For this purpose, we combined a classical contingent valuation with a closed-form version of discrete choice method, where the protest responses have been removed. By using econometric analysis, we obtained the willingness-to-pay (WTP) value and established its determinants. It was ascertained that residents derived more utility from implementation of the targeted development scenario than visitors. Thus, a discriminatory contribution scheme similar to the one with respect to the mean WTP could supply substantial revenue for further targeted development, while still providing ample consumer surplus for both residents and visitors. The present analysis represents one of the method's very few applications to urban landscape in Central and Eastern European countries.