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Water Quality Violations and Avoidance Behavior: Evidence from Bottled Water Consumption / Joshua Graff Zivin, Matthew Neidell, Wolfram Schlenker.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Graff Zivin, Joshua.
Contributor:
National Bureau of Economic Research.
Neidell, Matthew.
Schlenker, Wolfram.
Series:
Working Paper Series (National Bureau of Economic Research) no. w16695.
NBER working paper series no. w16695
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Other Title:
Water Quality Violations and Avoidance Behavior
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2011.
Summary:
In this paper, we examine the impact of poor water quality on avoidance behavior by estimating the change in bottled water purchases in response to drinking water violations. Using data from a national grocery chain matched with water quality violations, we find an increase in bottled water sales of 22 percent from violations due to microorganisms and 17 percent from violations due to elements and chemicals. Back-of-the envelope calculations yield costs of avoidance behavior at roughly $60 million for all nationwide violations in 2005, which likely reflects a significant understatement of the total willingness to pay to eliminate violations.
Notes:
Print version record
January 2011.

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