A Theoretical Framework for Formulating Non-Controversial Prices for Public Park and Recreation Services

Abstract

A conceptual framework is offered which guides public park and recreation managers on how to minimize resistance to pricing decisions from affected users. The fulcrum of the framework is reference price, which is the benchmark criterion used to evaluate whether or not a new or revised price for a service is acceptable to users. The paper defines reference price and explains its theoretical genesis. The discussion demonstrates how residual knowledge, a community's prevailing concept of equity, and context, which are the three shapers of reference price, evolved from that genesis. Finally, the role of framing in influencing users' reactions to pricing decisions is explained.