Bundling services and household welfare in developing countries - the case of Peru
Using panel data for Peru for 1994-2000, the authors find that when households receive two, or more services jointly, the welfare increases as measured by changes in consumption are larger than when services are provided separately. The increases appear to be more than proportional, as F-tests on the coefficients of the corresponding regressors confirm. Thus, the authors find that bundling services may help realize welfare effects.
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