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Methods for Valuing the Benefits of the Safe Drinking Water Act: Review and Assessment

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  • Whitehead, John C.
  • Van Houtven, George

Abstract

In this paper we review the valuation methodologies that are capable of providing estimates of economic benefits for safe drinking water quality. The most commonly used are the averting behavior and contingent valuation methods. Reviews of the applied valuation literature reveals a wide range of willingness to pay estimates for protection of drinking water quality. We provide a brief assessment of this literature, including a discussion of the validity of the studies and the potential for transferring these estimates for use in policy analysis. In general, benefits transfer is feasible but questions remain regarding the accuracy of these transfers. Comparative research with revealed and stated preference approaches with benefit transfer applications is needed.

Suggested Citation

  • Whitehead, John C. & Van Houtven, George, 1997. "Methods for Valuing the Benefits of the Safe Drinking Water Act: Review and Assessment," Archive 259717, North Carolina State University, Department of Agricultural and Resource Economics.
    • Handle: RePEc:ags:ncarar:259717
    DOI: 10.22004/ag.econ.259717
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    Cited by:

    1. Iftikhar Ahmad & Miraj ul Haq & Abdul Sattar, 2010. "Factors Determining Public Demand for Safe Drinking Water (A Case Study of District Peshawar)," PIDE-Working Papers 2010:58, Pakistan Institute of Development Economics.
    2. Groothuis, Peter A. & Cockerill, Kristan & Mohr, Tanga McDaniel, 2015. "Water does not flow up hill: determinants of willingness to pay for water conservation measures in the mountains of western North Carolina," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 59(C), pages 88-95.
    3. Mirajul Haq & Usman Mustafa & Iftikhar Ahmad, 2007. "Household s Willingness to Pay for Safe Drinking Water: A Case Study of Abbottabad District," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(4), pages 1137-1153.
    4. Mushtaq Ahmed Memon & Shunji Matsuoka, 2002. "Validity of contingent valuation estimates from developing countries: scope sensitivity analysis," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 5(1), pages 39-61, March.
    5. Jason F. Shogren & Tommy Stamland, 2005. "Self-Protection and Value of Statistical Life Estimation," Land Economics, University of Wisconsin Press, vol. 81(1).
    6. Mushtaq Memon & Shunji Matsuoka, 2002. "Validity of contingent valuation estimates from developing countries: scope sensitivity analysis," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 5(1), pages 39-61, March.
    7. Bernal García, Juan Jesús & Martínez Maria-Dolores, Soledad María & Sánchez García, Juan Francisco, 2006. "Study of the potentiality of the electronic commerce in the Region of Murcia by means of a model of logistic regression/Estudio de la Potencialidad del Comercio Electrónico en la Región de Murcia medi," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 24, pages 499-529, Abril.

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