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Economic Valuation of Urban Informal Activities: Case Study of Flea Markets in Bandung Municipality

Bagdja Muljarijadi () and Rahmat Thio
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Bagdja Muljarijadi: Master of Applied Economics Program Graduate School of Economics-Faculty of Economics Padjadjaran University

No 200802, Working Papers in Economics and Development Studies (WoPEDS) from Department of Economics, Padjadjaran University

Abstract: This study analyzes some social economic aspects of informal activities using case study of flea markets in Bandung Municipality. The objectives are to provide a description of the information we collected during our field survey, and report our findings on the Willingness to Pay (WTP) of people who are doing informal business in the flea markets under study on some services. We use Censored Regression Model to estimate WTP for some relevant services (general user charge, waste disposal services, security, and congestion) in the flea market. We found two important determinants of WTP, which are the amount of working capital, and the ownership of the merchandise.

Keywords: Flea market; informal activity; WTP (search for similar items in EconPapers)
JEL-codes: O17 P35 (search for similar items in EconPapers)
Pages: 17 pages
Date: 2008-05, Revised 2008-05
New Economics Papers: this item is included in nep-dev
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