The Value of Water Connections in Central American Cities: A Revealed Preference Study
We estimate annualized values of access to home tap water in three cities in El Salvador, and marginal ‘barrios’ in four Guatemalan cities, using a hedonic price method for studying changes in capitalized home values from obtaining a water connection. A tap water connection is found to add from 10 per cent to 52 per cent to sales values of homes in our sample. The estimated mean values of gaining tap water access represent 1–5 per cent of real household income, differing by city and with generally higher values in El Salvador. On average this gain eliminates between 1 per cent and 3 per cent of the initial difference in real incomes between the groups of connected and unconnected households. We also find large differences in the value of a tap connection depending on the main source of non-tap water, with lowest values when the source is a private well in El Salvador.
(This abstract was borrowed from another version of this item.)
|Date of creation:||Aug 2006|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: (+33) 5 61 12 86 23
Web page: http://www.toulouse.inra.fr/lerna/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jon Strand & Mette Vågnes, 2001. "The relationship between property values and railroad proximity: a study based on hedonic prices and real estate brokers' appraisals," Transportation, Springer, vol. 28(2), pages 137-156, May.
- Kevin J. Boyle & P. Joan Poor & Laura O. Taylor, 1999. "Estimating the Demand for Protecting Freshwater Lakes from Eutrophication," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(5), pages 1118-1122.
- Ian Walker & Max Velasquez & Fidel Ordoñez & Florencia Rodriguez, 1997. "Regulation, Organization and Incentives: The Political Economy of Potable Water Services in Honduras," Research Department Publications 3013, Inter-American Development Bank, Research Department.
- Strand, Jon & Walker, Ian, 2005. "Water markets and demand in Central American cities," Environment and Development Economics, Cambridge University Press, vol. 10(03), pages 313-335, June.
When requesting a correction, please mention this item's handle: RePEc:ler:wpaper:06.23.216. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Maxime MARTY)
If references are entirely missing, you can add them using this form.