Abstract
We use two separate quasi-natural experiments to explore the relative importance of information and administrative costs in explaining non-take-up of water subsidy. The first "experiment" shows that the take-up rate of a household with lower administrative costs is not significantly different from otherwise identical households. In contrast, using the same program, the second "experiment" reveals that the take-up rate of a household that is more likely to be informed is substantially higher compared to otherwise identical households. These findings support the idea that information plays a major role in explaining non-take-up of water subsidy.
Original language | American English |
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Pages (from-to) | 1174-1196 |
Number of pages | 23 |
Journal | Water (Switzerland) |
Volume | 3 |
Issue number | 4 |
DOIs | |
State | Published - 2011 |
Bibliographical note
Funding Information:Our thanks to Jenny Oser. We also thank Ori Sharf and Yulia Unger for their excellent research assistance. We thank Gal Hershkovitz and "Hagihon" for providing us with the data. We also thank the Falk institute for the financial support.
Funding Information:
Our thanks to Jenny Oser. We also thank Ori Sharf and Yulia Unger for their excellent research assistance. We thank Gal Hershkovitz and “Hagihon” for providing us with the data. We also thank the Falk institute for the financial support.
Publisher Copyright:
© 2011 by the authors.
Keywords
- Administrative costs
- Information costs
- Take-up
- Water subsidy