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Impact of Capital Endowment and Environmental Literacy on Farmers’ Willingness to Pay and Level of Payment for Domestic Waste Management

Author

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  • Dandan Fan

    (School of Economics and Management, Shanghai Ocean University, Shanghai 201306, China)

  • Lanzhen Tong

    (School of Economics and Management, Shanghai Ocean University, Shanghai 201306, China)

Abstract

China’s rural rejuvenation rationale reveals that domestic waste management (DWM), as a gateway to habitat enhancement, is a critical policy pathway for achieving sustainable rural development. This paper analyzes the influence of capital endowment (CE) and environmental literacy (EL) on farmers’ willingness to pay (WTP) for DWM through a binary logistic model, focusing on the Yangtze River Delta region, with 571 farmers contributing validated responses. It also conducts a more in-depth exploration of the regulatory role of EL and the influence of CE on WTP for DWM. The findings are as follows: (1) CE and sub-dimensions of economic capital and psychological capital yield a substantial positive effect on WTP for DWM. (2) CE and sub-dimensions of economic capital, human capital, and psychological capital yield a substantial positive effect on LOP for DWM. (3) EL and sub-dimensions of ER, EP, and EKS exert a notably positive influence on WTP and LOP for DWM. (4) EL functions as a moderator in the effect of CE on WTP for DWM. Based on this, this paper puts forward some policy suggestions to improve farmers’ WTP for DWM from two aspects: optimize the structure of farmers’ capital endowment and foster a positive climate for the entire society to safeguard the environment and strengthen the environmental literacy education system.

Suggested Citation

  • Dandan Fan & Lanzhen Tong, 2025. "Impact of Capital Endowment and Environmental Literacy on Farmers’ Willingness to Pay and Level of Payment for Domestic Waste Management," Sustainability, MDPI, vol. 17(12), pages 1-21, June.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:12:p:5308-:d:1674572
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    References listed on IDEAS

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    1. Xuezhen Xu & Fang Wang & Tao Xu & Sufyan Ullah Khan, 2023. "How Does Capital Endowment Impact Farmers’ Green Production Behavior? Perspectives on Ecological Cognition and Environmental Regulation," Land, MDPI, vol. 12(8), pages 1-27, August.
    2. Hongyu Wang & Xiaolei Wang & Apurbo Sarkar & Fuhong Zhang, 2021. "How Capital Endowment and Ecological Cognition Affect Environment-Friendly Technology Adoption: A Case of Apple Farmers of Shandong Province, China," IJERPH, MDPI, vol. 18(14), pages 1-16, July.
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    1. Nurul Mazrah Manshor & Rohayati Hussin & Lina Jamilah & Nur Irinah Mohamad Sirat & Salmah Roslim & Siti Khadijah Abdullah Sanek & Syatirah Abu Bakar & Mohd Zulhelmey Abdullah, 2025. "Towards Eco-Waqf: A Scopus AI Review of Waqf Policy and Green Learning Synergies," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(9), pages 5327-5342, September.

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