Conclusion

Over the past four decades, China’s unprecedented economic boom and rapid urbanization have transformed the nation, but at a significant cost. Water quality deterioration, water scarcity, and chronic under-investment in water infrastructure have posed serious challenges, particularly in rural areas with poor access to safe drinking water and in cities facing escalating water demand. Recognizing the urgency of these issues, the Chinese government has introduced a series of water sector reforms aimed at addressing these critical concerns. This book has examined three key water reforms that have significantly shaped domestic water consumption in China. Through rigorous econometric analysis using large-scale micro-level survey data, we have established causal relationships between these policy interventions and their outcomes. First, the Chinese government launched the rural drinking water program in the 1980s, aiming to improve rural residents’ access to safe drinking water. Our findings indicate that exposure to this program had profound long-term impacts on human capital development. Specifically, in utero exposure to treated tap water increased childhood height and improved cognitive test scores in adolescence.