HouseholdÃ¢ï¿½ï¿½s Valuation of Domestic Water in Indonesia: Revisiting the Supply Driven Approach
Arief Anshory Yusuf and
Phoebe Koundouri ()
No 404, DEOS Working Papers from Athens University of Economics and Business
We apply the hedonic analysis on a nation-wide microeconomic dataset of Indonesia. Our results indicate that in urban areas, people value having improved domestic water sources (piped and pump water), while this is not true for households in rural areas. Moreover, households in both urban and rural areas do not seem to value communal water sources, probably reflecting the effects of the free-rider problem, when services have characteristics of public goods. On the whole, our results show that households in rural Indonesia are not willing to pay for improved domestic water sources, which pinpoints a major challenge to the DDA approach. Assuming universal rights for provision of safe and improved water quantities that cover basic needs, subsidization of water provision is still called for.
Keywords: Household water valuation; supply driven approach (search for similar items in EconPapers)
References: View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed
Published in Econometrics Informing Natural Resources Management Selected Empirical Analyses
Downloads: (external link)
http://wpa.deos.aueb.gr/docs/Arief_Koundouri.pdf First version (application/pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:aue:wpaper:0404
Access Statistics for this paper
More papers in DEOS Working Papers from Athens University of Economics and Business Contact information at EDIRC.
Series data maintained by Ekaterini Glynou ().