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The Economic Losses Due to Drinking Water Impurity: A Revealed Preference Analysis in Kolkata, India

Author

Listed:
  • Chirodip Majumdar

    (Department of Economics, Barjora College, Barjora, Bankura 722202, West Bengal, India.)

  • Gautam Gupta

    (Department of Economics, Jadavpur University, Kolkata 700032, West Bengal, India.)

Abstract

Supply of water of desirable quality yields a range of benefits to households by reducing averting expenditure and expenditure on treating illness. The sum of these expenditures can be used as a measure of the costs that the society bears due to undesirable quality of water. The present paper uses household production function approach to formulate a structural model of averting behaviour and illness. The mathematical model is used to empirically estimate the total losses borne by households of Kolkata on averting activities and waterborne illness. The factors explaining variation in averting expenditure and cost of illness were separately investigated.

Suggested Citation

  • Chirodip Majumdar & Gautam Gupta, 2009. "The Economic Losses Due to Drinking Water Impurity: A Revealed Preference Analysis in Kolkata, India," Indian Economic Review, Department of Economics, Delhi School of Economics, vol. 44(1), pages 125-142, July.
    • Handle: RePEc:dse:indecr:v:44:y:2009:i:1:p:125-142
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    Cited by:

    1. Arif Yurtsev & Glenn P. Jenkins, 2019. "Assessment of the Impact on Household Welfare of Pressurized Potable Water Supply in Northern Cyprus," Development Discussion Papers 2019-03, JDI Executive Programs.

    More about this item

    Keywords

    Averting Expenditure; Cost-of-Illness; Revealed Preference; Willingness to Pay;
    All these keywords.

    JEL classification:

    • H29 - Public Economics - - Taxation, Subsidies, and Revenue - - - Other
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • R51 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies

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