Happiness on Tap: Piped Water Adoption in Urban Morocco
Connecting private dwellings to the water main is expensive and typically cannot be publicly financed. We show that households' willingness to pay for a private connection is high when it can be purchased on credit, not because a connection improves health but because it increases the time avai...
Main Authors: | , , , , |
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Other Authors: | |
Format: | Article |
Language: | en_US |
Published: |
American Economic Association
2013
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Online Access: | http://hdl.handle.net/1721.1/76281 https://orcid.org/0000-0001-6105-617X |
Summary: | Connecting private dwellings to the water main is expensive and typically cannot be publicly financed. We show that households' willingness to pay for a private connection is high when it can be purchased on credit, not because a connection improves health but because it increases the time available for leisure and reduces inter- and intra-household conflicts on water matters, leading to sustained improvements in well-being. Our results suggest that facilitating access to credit for households to finance lump sum quality-oflife investments can significantly increase welfare, even if those investments do not result in any health or income gains. (JEL D12, I31, O12, O13, O18, Q25) |
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