IDEAS home Printed from https://ideas.repec.org/p/aue/wpaper/0404.html

Household's Valuation of Domestic Water in Indonesia: Revisiting the Supply Driven Approach

Author

Listed:
  • Arief Anshory Yusuf
  • Phoebe Koundouri

Abstract

We apply the hedonic analysis on a nation-wide microeconomic dataset of Indonesia. Our results indicate that in urban areas, people value having improved domestic water sources (piped and pump water), while this is not true for households in rural areas. Moreover, households in both urban and rural areas do not seem to value communal water sources, probably reflecting the effects of the free-rider problem, when services have characteristics of public goods. On the whole, our results show that households in rural Indonesia are not willing to pay for improved domestic water sources, which pinpoints a major challenge to the DDA approach. Assuming universal rights for provision of safe and improved water quantities that cover basic needs, subsidization of water provision is still called for.

Suggested Citation

  • Arief Anshory Yusuf & Phoebe Koundouri, 2004. "Household's Valuation of Domestic Water in Indonesia: Revisiting the Supply Driven Approach," DEOS Working Papers 0404, Athens University of Economics and Business.
    • Handle: RePEc:aue:wpaper:0404
    as

    Download full text from publisher

    File URL: http://wpa.deos.aueb.gr/docs/Arief_Koundouri.pdf
    File Function: First version
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Eric Nazindigouba KERE & Johanna CHOUMERT & Amandine Loyal LARÉ-DONDARINI, 2014. "The impact of water and sanitation access on housing values: The case of Dapaong, Togo," Working Papers 201403, CERDI.
    2. Yusep Suparman & Henk Folmer & Johan Oud, 2014. "Hedonic price models with omitted variables and measurement errors: a constrained autoregression–structural equation modeling approach with application to urban Indonesia," Journal of Geographical Systems, Springer, vol. 16(1), pages 49-70, January.

    More about this item

    Keywords

    ;
    ;

    JEL classification:

    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aue:wpaper:0404. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ekaterini Glynou (email available below). General contact details of provider: https://edirc.repec.org/data/diauegr.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.