IDEAS home Printed from https://ideas.repec.org/a/eee/socmed/v173y2017icp63-71.html
   My bibliography  Save this article

User preferences and willingness to pay for safe drinking water: Experimental evidence from rural Tanzania

Author

Listed:
  • Burt, Zachary
  • Njee, Robert M.
  • Mbatia, Yolanda
  • Msimbe, Veritas
  • Brown, Joe
  • Clasen, Thomas F.
  • Malebo, Hamisi M.
  • Ray, Isha

Abstract

Almost half of all deaths from drinking microbiologically unsafe water occur in Sub-Saharan Africa. Household water treatment and safe storage (HWTS) systems, when consistently used, can provide safer drinking water and improve health. Social marketing to increase adoption and use of HWTS depends both on the prices of and preferences for these systems. This study included 556 households from rural Tanzania across two low-income districts with low-quality water sources. Over 9 months in 2012 and 2013, we experimentally evaluated consumer preferences for six “low-cost” HWTS options, including boiling, through an ordinal ranking protocol. We estimated consumers’ willingness to pay (WTP) for these options, using a modified auction. We allowed respondents to pay for the durable HWTS systems with cash, chickens or mobile money; a significant minority chose chickens as payment. Overall, our participants favored boiling, the ceramic pot filter and, where water was turbid, PuR™ (a combined flocculant-disinfectant). The revealed WTP for all products was far below retail prices, indicating that significant scale-up may need significant subsidies. Our work will inform programs and policies aimed at scaling up HWTS to improve the health of resource-constrained communities that must rely on poor-quality, and sometimes turbid, drinking water sources.

Suggested Citation

  • Burt, Zachary & Njee, Robert M. & Mbatia, Yolanda & Msimbe, Veritas & Brown, Joe & Clasen, Thomas F. & Malebo, Hamisi M. & Ray, Isha, 2017. "User preferences and willingness to pay for safe drinking water: Experimental evidence from rural Tanzania," Social Science & Medicine, Elsevier, vol. 173(C), pages 63-71.
  • Handle: RePEc:eee:socmed:v:173:y:2017:i:c:p:63-71
    DOI: 10.1016/j.socscimed.2016.11.031
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0277953616306505
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.socscimed.2016.11.031?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Whittington, Dale, 1998. "Administering contingent valuation surveys in developing countries," World Development, Elsevier, vol. 26(1), pages 21-30, January.
    2. Amrita Ahuja & Michael Kremer & Alix Peterson Zwane, 2010. "Providing Safe Water: Evidence from Randomized Evaluations," Annual Review of Resource Economics, Annual Reviews, vol. 2(1), pages 237-256, October.
    3. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
    4. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555, January.
    5. Michael Kremer & Jessica Leino & Edward Miguel & Alix Peterson Zwane, 2011. "Spring Cleaning: Rural Water Impacts, Valuation, and Property Rights Institutions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 126(1), pages 145-205.
    6. Nava Ashraf & James Berry & Jesse M. Shapiro, 2010. "Can Higher Prices Stimulate Product Use? Evidence from a Field Experiment in Zambia," American Economic Review, American Economic Association, vol. 100(5), pages 2383-2413, December.
    7. Parker Fiebelkorn, Amy & Person, Bobbie & Quick, Robert E. & Vindigni, Stephen M. & Jhung, Michael & Bowen, Anna & Riley, Patricia L., 2012. "Systematic review of behavior change research on point-of-use water treatment interventions in countries categorized as low- to medium-development on the human development index," Social Science & Medicine, Elsevier, vol. 75(4), pages 622-633.
    8. Poulos, Christine & Yang, Jui-Chen & Patil, Sumeet R. & Pattanayak, Subhrendu & Wood, Siri & Goodyear, Lorelei & Gonzalez, Juan Marcos, 2012. "Consumer preferences for household water treatment products in Andhra Pradesh, India," Social Science & Medicine, Elsevier, vol. 75(4), pages 738-746.
    9. Evans, W.D. & Pattanayak, S.K. & Young, S. & Buszin, J. & Rai, S. & Bihm, Jasmine Wallace, 2014. "Social marketing of water and sanitation products: A systematic review of peer-reviewed literature," Social Science & Medicine, Elsevier, vol. 110(C), pages 18-25.
    10. Christa L Fischer Walker & Martin J Aryee & Cynthia Boschi-Pinto & Robert E Black, 2012. "Estimating Diarrhea Mortality among Young Children in Low and Middle Income Countries," PLOS ONE, Public Library of Science, vol. 7(1), pages 1-7, January.
    11. Pascaline Dupas, 2011. "Health Behavior in Developing Countries," Annual Review of Economics, Annual Reviews, vol. 3(1), pages 425-449, September.
    12. Beggs, S. & Cardell, S. & Hausman, J., 1981. "Assessing the potential demand for electric cars," Journal of Econometrics, Elsevier, vol. 17(1), pages 1-19, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bauchet, Jonathan & Morduch, Jonathan, 2019. "Paying in pieces: A natural experiment on demand for life insurance under different payment schemes," Journal of Development Economics, Elsevier, vol. 139(C), pages 69-77.
    2. Smith, Daniel W. & Atwii Ongom, Stephen & Davis, Jennifer, 2023. "Does professionalizing maintenance unlock demand for more reliable water supply? Experimental evidence from rural Uganda," World Development, Elsevier, vol. 161(C).
    3. Loubière, Sandrine & Taylor, Owen & Tinland, Aurelie & Vargas-Moniz, Maria & O'Shaughnessy, Branagh & Bokszczanin, Anna & Kallmen, Hakan & Bernad, Roberto & Wolf, Judith & Santinello, Massimo & Loundo, 2020. "Europeans’ willingness to pay for ending homelessness: A contingent valuation study," Social Science & Medicine, Elsevier, vol. 247(C).
    4. Jie Dong & Kuan Zhang & Xiguo Yin & Houjian Li & Mansoor Ahmed Koondhar, 2021. "Does piped water improve adolescent health? Empirical evidence from rural China," Review of Development Economics, Wiley Blackwell, vol. 25(3), pages 1601-1628, August.
    5. Venis, Robbie A. & Taylor, Virginia & Sumayani, Paulina & Laizer, Marie & Anderson, Troy & Basu, Onita D., 2022. "Towards a participatory framework for improving water & health outcomes: A case study with Maasai women in rural Tanzania," Social Science & Medicine, Elsevier, vol. 301(C).
    6. Tidwell, James B. & Terris-Prestholt, Fern & Quaife, Matthew & Aunger, Robert, 2019. "Understanding demand for higher quality sanitation in peri-urban Lusaka, Zambia through stated and revealed preference analysis," Social Science & Medicine, Elsevier, vol. 232(C), pages 139-147.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. James Berry & Greg Fischer & Raymond Guiteras, 2020. "Eliciting and Utilizing Willingness to Pay: Evidence from Field Trials in Northern Ghana," Journal of Political Economy, University of Chicago Press, vol. 128(4), pages 1436-1473.
    2. Yusuke Narita, 2018. "Toward an Ethical Experiment," Cowles Foundation Discussion Papers 2127, Cowles Foundation for Research in Economics, Yale University.
    3. Jacopo Bonan & Stefano Pareglio & Massimo Tavoni, 2014. "Access to Modern Energy: a Review of Impact Evaluations," Working Papers 2014.96, Fondazione Eni Enrico Mattei.
    4. Yusuke Narita, 2018. "Experiment-as-Market: Incorporating Welfare into Randomized Controlled Trials," Cowles Foundation Discussion Papers 2127r, Cowles Foundation for Research in Economics, Yale University, revised May 2019.
    5. Gianmarco León & Edward Miguel, 2017. "Risky Transportation Choices and the Value of a Statistical Life," American Economic Journal: Applied Economics, American Economic Association, vol. 9(1), pages 202-228, January.
    6. León-Ciliotta, Gianmarco & Miguel, Edward, 2013. "Transportation Choices and the Value of Statistical Life," Department of Economics, Working Paper Series qt2466n61j, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    7. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    8. Sonia R. Bhalotra & Alberto Diaz-Cayeros & Grant Miller & Alfonso Miranda & Atheendar S. Venkataramani, 2017. "Urban Water Disinfection and Mortality Decline in Developing Countries," NBER Working Papers 23239, National Bureau of Economic Research, Inc.
    9. Joseph Goeb & Andrew Dillon & Frank Lupi & David Tschirley, 2020. "Pesticides: What You Don’t Know Can Hurt You," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 7(5), pages 801-836.
    10. Jessica Cohen & Pascaline Dupas & Simone Schaner, 2015. "Price Subsidies, Diagnostic Tests, and Targeting of Malaria Treatment: Evidence from a Randomized Controlled Trial," American Economic Review, American Economic Association, vol. 105(2), pages 609-645, February.
    11. Czura, Kristina & Menzel, Andreas & Miotto, Martina, 2023. "Improved menstrual health and the workplace: an RCT with female Bangladeshi garment workers," CAGE Online Working Paper Series 653, Competitive Advantage in the Global Economy (CAGE).
    12. Garg, Teevrat & Hamilton, Stuart E. & Hochard, Jacob P. & Kresch, Evan Plous & Talbot, John, 2018. "(Not so) gently down the stream: River pollution and health in Indonesia," Journal of Environmental Economics and Management, Elsevier, vol. 92(C), pages 35-53.
    13. José L. Oviedo & Hong Il Yoo, 2017. "A Latent Class Nested Logit Model for Rank-Ordered Data with Application to Cork Oak Reforestation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 68(4), pages 1021-1051, December.
    14. Agüero, Jorge M. & Beleche, Trinidad, 2017. "Health shocks and their long-lasting impact on health behaviors: Evidence from the 2009 H1N1 pandemic in Mexico," Journal of Health Economics, Elsevier, vol. 54(C), pages 40-55.
    15. Yoo, Hong Il & Doiron, Denise, 2013. "The use of alternative preference elicitation methods in complex discrete choice experiments," Journal of Health Economics, Elsevier, vol. 32(6), pages 1166-1179.
    16. Vanaja, Shiuli, 2021. "Are People Making Correct Choices? Drivers of Water Source Choices in Rural Jharkhand, India," 2021 Conference, August 17-31, 2021, Virtual 315156, International Association of Agricultural Economists.
    17. Yang, Xiaofang & Jin, Wen & Jiang, Hai & Xie, Qianyan & Shen, Wei & Han, Weijian, 2017. "Car ownership policies in China: Preferences of residents and influence on the choice of electric cars," Transport Policy, Elsevier, vol. 58(C), pages 62-71.
    18. Siikamaki, Juha & Layton, David F., 2006. "Discrete Choice Survey Experiments: A Comparison Using Flexible Models," RFF Working Paper Series dp-05-60, Resources for the Future.
    19. Siikamaki, Juha & Layton, David F., 2007. "Discrete choice survey experiments: A comparison using flexible methods," Journal of Environmental Economics and Management, Elsevier, vol. 53(1), pages 122-139, January.
    20. Hong il Yoo, 2012. "The perceived unreliability of rank-ordered data: an econometric origin and implications," Discussion Papers 2012-46, School of Economics, The University of New South Wales.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:socmed:v:173:y:2017:i:c:p:63-71. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/315/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.