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The Review of Economics and Statistics Vol. 104 No. 6 2022

Testing the Water: Drinking Water Quality, Public Notification, and Child Outcomes

Michelle Marcus

Vanderbilt University

Abstract

Health-based drinking water violations affect about one in twelve Americans annually, yet the benefits of drinking water regulation are not well understood. I exploit plausibly exogenous variation in water quality violation timing to estimate the impacts on avoidance behavior and child outcomes. Using purchases of bottled water and common stomach remedies, emergency room visits for gastrointestinal illness, and school absences, I provide a comprehensive calculation of costs associated with poor drinking water quality. Individuals avoid the negative health impacts of coliform bacteria violations only when informed immediately. Timely public notification is a cost-effective way to induce avoidance behavior and protect health.

DOI
10.1162/rest_a_01006
Volume
104
Issue
6
Pages
1289-1303
Language
en
Sources
openalex crossref

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