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Optimal Pricing of a New Utility Service : The Case of Piped Water in Vietnam (English)

As utility services expand throughout the developing world, providers must grapple with how to set prices to recover average costs. Data from a multi-year randomized pricing experiment among nearly 1500 recently-connected piped water customers in Vietnam reveal month-to-month demand persistence. Based on structural demand estimation, the authors document how endogenous preferences, if unaccounted for, can lead to low take-up and thereby threaten the...
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Do,Quy-Toan; Jacoby,Hanan G..

Optimal Pricing of a New Utility Service : The Case of Piped Water in Vietnam (English). Impact Evaluation series|Paper is funded by the Knowledge for Change Program (KCP)|Policy Research working paper|no. WPS 9207 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/321751586281645715

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