Stated Preferences for Public Provision of Services: Experimental Evidence from Latin America

Hernán Bejarano, Matías Busso and Juan Francisco Santos
Additional contact information
Hernán Bejarano: CIDE-ESI-Chapman University
Matías Busso: IDB
Juan Francisco Santos: IDB

No 385, Working Papers from Red Nacional de Investigadores en Economía (RedNIE)

Abstract: We study how individuals in six Latin American countries value public versus private provision of education and healthcare using a survey experiment. Respondents were randomly assigned to vignettes that vary income, service quality, and provider type. Reported service quality is the main driver of choices: the probability of selecting a private provider roughly doubles when reported quality of the public option falls from 80 to 20 percent, while income has a smaller effect. Higher institutional trust lowers the likelihood of switching to private providers but does not affect willingness to payonce individuals choose private provision.

Keywords: Stated preferences; Willingness to pay; Public versus private provision; Service quality; Latin America (search for similar items in EconPapers)
JEL-codes: D12 H42 I18 I21 O54 (search for similar items in EconPapers)
Pages: 18 pages
Date: 2026-02
New Economics Papers: this item is included in nep-dcm and nep-exp
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Persistent link: https://EconPapers.repec.org/RePEc:aoz:wpaper:385

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