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Awareness and the demand for environmental quality: survey evidence on drinking water in urban India

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  • JALAN, JYOTSNA
  • SOMANATHAN, E.
  • CHAUDHURI, SARASWATA

Abstract

The demand for environmental quality is often presumed to be low in developing countries due to poverty. Less attention has been paid to the possibility that lack of awareness about adverse health effects of environmental pollution could also keep the demand low. We use a household survey from urban India to estimate the effects of schooling, exposure to mass media, and other measures of awareness on home water purification. We find that these measures of awareness have statistically significant effects on home purification and, therefore, on willingness to pay. These effects are similar in magnitude to the wealth effects. Average costs of different home purification methods are used to generate partial estimates of willingness to pay for better drinking water quality.

Suggested Citation

  • Jalan, Jyotsna & Somanathan, E. & Chaudhuri, Saraswata, 2009. "Awareness and the demand for environmental quality: survey evidence on drinking water in urban India," Environment and Development Economics, Cambridge University Press, vol. 14(06), pages 665-692, December.
  • Handle: RePEc:cup:endeec:v:14:y:2009:i:06:p:665-692_00
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    1. repec:spr:endesu:v:19:y:2017:i:6:d:10.1007_s10668-016-9851-2 is not listed on IDEAS
    2. E. Somanathan, 2010. "Effects of Information on Environmental Quality in Developing Countries," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 4(2), pages 275-292, Summer.
    3. Jessoe, Katrina, 2013. "Improved source, improved quality? Demand for drinking water quality in rural India," Journal of Environmental Economics and Management, Elsevier, vol. 66(3), pages 460-475.
    4. Sheila M. Olmstead, 2010. "The Economics of Water Quality," Review of Environmental Economics and Policy, Association of Environmental and Resource Economists, vol. 4(1), pages 44-62, Winter.
    5. K. Parameswari & B. V. Mudgal & T. K. Padmini, 2016. "Awareness on usage of contaminated groundwater around Perungudi dumpsite, Tamil Nadu, India," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 18(3), pages 657-668, June.
    6. Yusep Suparman & Henk Folmer & Johan H.L. Oud, 2016. "The willingness to pay for in-house piped water in urban and rural Indonesia," Papers in Regional Science, Wiley Blackwell, vol. 95(2), pages 407-426, June.

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