Behavioural Adaptation to Improved Environmental Quality: Evidence from a Sanitation Intervention in Lao Pdr

Abstract

This paper investigates behavioural adaptation to local improvements in environmental quality. Using exogenous variation in the availability of improved sanitation generated by the randomised allocation of financial incentives in Lao PDR, we find that improvements in village sanitation coverage led to significant reductions in boiling water for drinking. Our analysis suggests that this change is likely a rational response to a reduction in the health benefits associated with treating water, which decline and eventually become negligible as local adoption of improved sanitation increases. Estimates of the value of time savings associated with the reduction in water boiling suggest that this adaptation is an additional important benefit of sanitation investments, most of which accrues to girls and women.

Keywords: CLTS, Water boiling, Time savings, Height, Sanitation, WASH