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The Economic Value of Basin Protection to Improve the Quality and Reliability of Potable Water Supply: Some Evidence from Ecuador

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Author Info

  • Zapata, Samuel D.
  • Benavides, Holger M.
  • Carpio, Carlos E.
  • Willis, David B.

Abstract

This study estimates the willingness to pay (WTP) of Loja’s households to protect two micro-basins that supply over 40 percent of potable water to the city. Results indicate that households have an average WTP of $5.80 per month, which corresponds to a 25 percent increase in the self-reported monthly water bill, to preserve the basins.

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Bibliographic Info

Paper provided by Southern Agricultural Economics Association in its series 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia with number 46773.

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Date of creation: 2009
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Handle: RePEc:ags:saeana:46773

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Related research

Keywords: Basin protection; contingent valuation; Loja; Ecuador; Environmental Economics and Policy; Land Economics/Use;

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  1. Ronald C. Griffin & James W. Mjelde, 2000. "Valuing Water Supply Reliability," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(2), pages 414-426.
  2. W. Michael Hanemann, 1994. "Valuing the Environment through Contingent Valuation," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 19-43, Fall.
  3. Whittington, Dale, et al, 1990. "Estimating the Willingness to Pay for Water Services in Developing Countries: A Case Study of the Use of Contingent Valuation Surveys in Southern Haiti," Economic Development and Cultural Change, University of Chicago Press, vol. 38(2), pages 293-311, January.
  4. Dale Whittington, 1996. "Administering Contingent Valuation Surveys in Developing Countries," EEPSEA Special and Technical Paper sp199601t1, Economy and Environment Program for Southeast Asia (EEPSEA), revised Jan 1996.
  5. Johnson, Nancy L. & Baltodano, Maria Eugenia, 2004. "The economics of community watershed management: some evidence from Nicaragua," Ecological Economics, Elsevier, vol. 49(1), pages 57-71, May.
  6. Loomis, John B., 1990. "Comparative reliability of the dichotomous choice and open-ended contingent valuation techniques," Journal of Environmental Economics and Management, Elsevier, vol. 18(1), pages 78-85, January.
  7. Loomis, John & Kent, Paula & Strange, Liz & Fausch, Kurt & Covich, Alan, 2000. "Measuring the total economic value of restoring ecosystem services in an impaired river basin: results from a contingent valuation survey," Ecological Economics, Elsevier, vol. 33(1), pages 103-117, April.
  8. repec:idb:brikps:42838 is not listed on IDEAS
  9. Casey, James F. & Kahn, James R. & Rivas, Alexandre, 2006. "Willingness to pay for improved water service in Manaus, Amazonas, Brazil," Ecological Economics, Elsevier, vol. 58(2), pages 365-372, June.
  10. Wunder, Sven & Albán, Montserrat, 2008. "Decentralized payments for environmental services: The cases of Pimampiro and PROFAFOR in Ecuador," Ecological Economics, Elsevier, vol. 65(4), pages 685-698, May.
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