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Does Privatization Deliver? Access to Telephone Services and Household Income in Poor Rural Areas Using a Quasi-Natural Experiment for Peru AgEcon
Chong, Alberto E.; Galdo, Virgilio; Torero, Maximo.
We take advantage of a quasi-natural experiment in Peru by which the privatized telecommunications company was required by government to randomly install and operate public pay phones on small rural towns along the national territory. Using a especially designed household survey for a representative sample of rural towns we are able to link access to telephone services with household income. We find, that regardless of the income measurement, most characteristics of public telephone are positively linked with income. Remarkably, the benefits are given at both non-farm and farm income levels. Not only do the findings hold when using instrumental variables but they are further confirmed when using propensity scores matching methods.
Tipo: Conference Paper or Presentation Palavras-chave: Privatization; Institutions; Rural; Poverty; Telecommunications; Consumer/Household Economics; G32; H10; J45; O1.
Ano: 2006 URL: http://purl.umn.edu/25691
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WILLINGNESS TO PAY FOR THE TELEPHONE SERVICE IN BANGLADESH AND PERU AgEcon
Torero, Maximo; Chowdhury, Shyamal K.; Galdo, Virgilio.
This paper measures the rural households' willingness to pay (WTP) for access to public telephone services in Bangladesh and Peru through contingent valuation methods. The development of contingent valuation methods together with the econometric expansion of qualitative response models has permitted an approximation to the consumer surplus in the presence of externalities, public good and information asymmetries. The paper utilizes both parametric and nonparametric estimations that are commonly observed in the literature concerned with the estimation of WTP. The main result of the paper suggest that rural telecommunications projects are welfare enhancing, since households' WTP are higher than the prevailing tariff rates. For Peru, households' currently pay...
Tipo: Working or Discussion Paper Palavras-chave: Consumer/Household Economics.
Ano: 2002 URL: http://purl.umn.edu/18758
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