Use of Dichotomous Choice Contingent Valuation Method to Value the Manukan Island, Sabah

This study presents the application of dichotomous choice contingent valuation method (CVM)to value outdoors-recreational resources in Manukan Island, Sabah. Both the logit and probitmodels are used to analyze the primary data obtained through personal int erview. The maximumlikelihood estimates of this model show that income and price are sign ificant variab les indetermining one is willingness to pay (WfP) . The WTP figure derived from the model shows thatit is much high er than present fees charged to the visitors. This study has also estimated therevenue that cou ld be derived is the fees were charged according to the WfP framework.