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Capturing Willingness to Pay and Its Determinants for Improved Solid Waste Management

Author

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  • Usman Mustafa

    (Pakistan Institute of Development Economics, Islamabad)

  • Iftikhar Ahmad

    (Pakistan Institute of Development Economics, Islamabad)

  • Miraj ul Haq

    (Azad Jammu and Kashmir University, AJK, Pakistan)

Abstract

A dignified and healthy life remains a distant nightmare to the large majority of population in developing countries including Pakistan. Large masses living in this world particularly South Asian country (that is home to over one fifth of the world’s population) is still striving for it. Pakistan, being a developing country, is no exclusion to that state. The condition of sanitation and solid waste management (SWM) in the country carriages a grave challenge to health and hygiene. This study was carried out to show at the household’s HHs) demand for improved environmental settings over valuing their willingness to pay (WTP) for better SWM facilities. The study follows contingent valuation method for assessing the HHs preferences for better living standards. Primary data used in the research was gathered with the application of tailor made questionnaire from both rural and urban regions of district Abbottabad, Pakistan at HHs premises. The objective was to discover the determinants of HH’s WTP for improved environment through better SWM services; the binomial logit regression method was used. Education, income, awareness, location and HH size were found to be influencing HH’s WTP. The study concluded that HHs were WTP, if adequate services were delivered to them.

Suggested Citation

  • Usman Mustafa & Iftikhar Ahmad & Miraj ul Haq, 2014. "Capturing Willingness to Pay and Its Determinants for Improved Solid Waste Management," PIDE-Working Papers 2014:110, Pakistan Institute of Development Economics.
  • Handle: RePEc:pid:wpaper:2014:110
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    File URL: http://www.pide.org.pk/pdf/Working%20Paper/WorkingPaper-110.pdf
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    References listed on IDEAS

    as
    1. 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.
    2. Kristin Komives & Vivien Foster & Jonathan Halpern & Quentin Wodon, 2005. "Water, Electricity, and the Poor : Who Benefits from Utility Subsidies?," World Bank Publications, The World Bank, number 6361.
    3. Joe Kerkvliet, 1997. "A Randomized Response Approach to Dichotomous Choice Contingent Valuation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(1), pages 252-266.
    4. Cameron, Trudy Ann, 1988. "A new paradigm for valuing non-market goods using referendum data: Maximum likelihood estimation by censored logistic regression," Journal of Environmental Economics and Management, Elsevier, vol. 15(3), pages 355-379, September.
    5. Carson Richard T. & Mitchell Robert Cameron, 1995. "Sequencing and Nesting in Contingent Valuation Surveys," Journal of Environmental Economics and Management, Elsevier, vol. 28(2), pages 155-173, March.
    6. Jin‐Tan Liu & James K. Hammitt & Jung‐Der Wang & Jin‐Long Liu, 2000. "Mother's willingness to pay for her own and her child's health: a contingent valuation study in Taiwan," Health Economics, John Wiley & Sons, Ltd., vol. 9(4), pages 319-326, June.
    7. Hoehn, John P. & Randall, Alan, 1987. "A satisfactory benefit cost indicator from contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 14(3), pages 226-247, September.
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    Cited by:

    1. Noukignon Koné, 2016. "Willingness to pay of the households to a waste management improvement in the precarious districts of Abidjan (Ivory Coast)," Economics Bulletin, AccessEcon, vol. 36(3), pages 1791-1804.
    2. Hina, Syeda Mahlaqa & Szmerekovsky, Joseph & Lee, EunSu & Amin, Muhammad & Arooj, Syeda, 2020. "Effective municipal solid waste collection using geospatial information systems for transportation: A case study of two metropolitan cities in Pakistan," Research in Transportation Economics, Elsevier, vol. 84(C).

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    Keywords

    Contingent Valuation Method; Binomial Logit Regression; Willingness to Pay; Solid Waste Management; Environment; Pakistan;
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