The Economic Benefits of Surface Water Quality Improvements: A Case of Channel in the Mekong Delta, Vietnam

By Huynh Viet Khai.

Published by The International Journal of Environmental Sustainability

Format Price
Article: Print $US10.00
Published online: March 6, 2014 $US5.00

The contingent valuation method (CVM) has been popularly applied to estimate the economic value of water quality improvements. This approach is based on a hypothetical scenario in which respondents are requested through questionnaires to reveal their maximum willingness to pay (WTP) for water quality improvements. The study used CVM to study the Mekong Delta urban households’ motivations and their willingness to pay for the surface water improvement project in the channel located in the Mekong Delta, Vietnam. The non-parametric estimation technique for the discrete choice valuation format was applied to estimate the mean WTP. The study estimated the mean WTP of approximately VND 267,550 (US$12.67) per household, nearly equal to 1.41 percent of the average annual income of households in the study area while it was approximately VND 207,770 (US$9.84) after adjustment for certainty and VND 310,000 (US$14.68) after protest-vote respondents excluded from the analysis.

Keywords: Economic Value, Contingent Valuation Method, Willingness to Pay

The International Journal of Environmental Sustainability, Volume 9, Issue 2, March 2014, pp.71-83. Article: Print (Spiral Bound). Published online: March 6, 2014 (Article: Electronic (PDF File; 504.883KB)).

Dr. Huynh Viet Khai

Lecturer, Department of Agricultural Economics and Resource Environmental Economics, School of Economics and Business Administration, Can Tho University, Can Tho, Can Tho, Viet Nam

I have been involved in a variety of research activities in the evaluation on productive efficiency of agricultural production, the costs of agricultural production due to water pollution, price insurance of agricultural product, the solution of poverty reduction. I am also interested in Economic valuation of non-market goods (biodiversity, amenity, and externality of agriculture and forest, and waste management, food safety, environmental policy, the applications of contingent valuation and choice modeling methods.