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The Qualitative Model Provides to the Creation of a Hypothetical Water Market in Tunisia

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  • Bouchrika Ali
  • Terzi Chokri
  • Mhadhbi Khalil

    (Higher Institute of Management, University of Gabes, Tunisia)

  • El Ammari Anis

    (Faculty of Economic Sciences and Management of Mahdia, University of Monastir, Tunisia)

Abstract

This paper aims to estimate a willingness to pay (WTP) model from a Logit and Tobit regressions. The purpose of these estimates is to study the behavior of Tunisian consumers following their consumption of drinking water by calculating the marginal and elasticities’ effects. Empirical results show that the differentiation intra and inter-physical nature of the quality of water supplied to a major consequence to cause reactions in the strategy for consumer consumption. Indeed, in case of poor or average quality households are paying nearly a WTP to benefit from improved quality. In case where the drinking water’s quality is not a problem of satisfaction among households, the payment of WTP will depend on the awareness’s level of the questioned agent.

Suggested Citation

  • Bouchrika Ali & Terzi Chokri & Mhadhbi Khalil & El Ammari Anis, 2017. "The Qualitative Model Provides to the Creation of a Hypothetical Water Market in Tunisia," International Journal of Environmental Sciences & Natural Resources, Juniper Publishers Inc., vol. 1(4), pages 96-105, February.
    • Handle: RePEc:adp:ijesnr:v:1:y:2017:i:4:p:96-105
    DOI: 10.19080/IJESNR.2017.01.555566
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    Keywords

    earth and environment journals; environment journals; open access environment journals; peer reviewed environmental journals; open access; juniper publishers; ournal of Environmental Sciences; juniper publishers journals ; juniper publishers reivew;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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