Departmental Bulletin Paper A nonparametric welfare analysis on water quality improvement of the floating people on Inlay Lake via a randomized conjoint field experiment

Su Thet Hninn,  ,  Kaneko, Shinji  ,  Kawata, Keisuke  ,  Yoshida, Yuichiro

6 ( 2 )  , pp.1 - 20 , 2016-03-31 , 広島大学大学院国際協力研究科
This study evaluates the potential surplus gain of a water improvement policy and the causal effects of its components on choice probabilities for the floating people on Inlay Lake, Myanmar, based on a randomized conjoint field experiment. In our experimental design, respondents rank three options: two alternative policies and one status quo. We then present a method that enables us to estimate the minimum willingness-to-pay for a policy in the form of compensating variations under a set of weak assumptions using this conjoint data. Results show inter alia that the provision of toilet facilities and a collective wastewater treatment, and joint implementation of the policy by the government and local NGOs have a positive effects on the choice probabilities. Results also show that the surplus gain from a water-quality improvement policy is at least as large as 22.9% of the average annual per-capita income of those on the lake.
The present work was in part conducted for methodological advancements in social science of and supported by the Hiroshima University TAOYAKA Program for creating a flexible, enduring, peaceful society, funded by the Program 19 for Leading Graduate Schools, Ministry of Education, Culture, Sports, Science and Technology. In addition, the field experiment was in part financially supported by Japanese Grant Aid for Human Resource Development Scholarship (JDS) Project.

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