The Economic Value of Basin Protection to Improve the Quality and Reliability of Potable Water Supply: Some Evidence from Ecuador



Table 2. Tobit Model Regression Results

Variable

Coefficients

Standard

Marginal

Standard

Error

effects

Error

Constant

-2.741

4.107

-2.070

3.180

Age (years)

0.051

0.088

0.038

0.068

Gender (Male=1, Female=O)

3.766 ***b

1.596

2.844 **

1.256

Income (($100 per month)

0.009

0.194

0.007

0.151

Average monthly water bill ($
per month)

0.157 **

0.090

0.118 **

0.072

Perception about water tariff
(1=Expensive, Cheap or
Normal=0)

-4.661 **

2.320

-3.520 **

1.822

Availability of service 24
hours/day (1=Yes, 0=No)

3.976 **

1.935

3.003 **

1.510

Perception about quality

1.436

1.820

1.084

1.396

(1=satisfied, 0=no satisfied)
Perception about quantity

-1.482

2.316

-1.119

1.783

(1=satisfied, 0=no satisfied)

Perception about regularity of

-2.201

2.022

-1.662

1.568

service

(1=satisfied, 0=no satisfied)
Sigma

7.370 ***

0.900

Log-likelihood function________

--297.837

a Standard errors calculated with the asymptotic covariance obtained using bootstrapping

b Significance levels of 0.01 and 0.05 are indicated by ***, and ** respectively.



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