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dc.contributor.authorMir, Khusro
dc.contributor.authorBrouwer, Roy 16:00:17 (GMT) 16:00:17 (GMT)
dc.description.abstractWe investigate the impact of forest cover on drinking water treatment costs in Canada using the 2015 Survey of Drinking Water Plants (SDWP). We estimate proportion of forest, urban, and agricultural land cover in the sub-sub drainage areas surrounding each drinking water treatment facility. Analysis is complicated by endogeneity between land use, raw water quality, and drinking water treatment costs in our model, as well as potential spatial spillovers. To address the first issue, we instrument raw water quality on proportion of agricultural land in 1km surrounding each treatment facility. For the second, we use Moran’s eigenvector method to build a spatial weighting matrix accounting for spillover effects. We explore spatial error and spatial lag models with drainage basin fixed effects and raw water quality as an instrumented variable for treatment plants across Canada. Our study contributes to the literature on the economic value of watershed ecosystem services by showing forest cover provides important economic benefits through their water purification services.en
dc.description.sponsorshipThis research was undertaken thanks, in part, with support from the Global Water Futures Program funded by the Canada First Research Excellence Fund (CFREF).en
dc.publisherUniversity of Waterlooen
dc.relation.ispartofseriesGlobal Water Futures;
dc.rightsAttribution 4.0 International*
dc.subjectGWF ASOM 2023en
dc.subjectEcosystem servicesen
dc.subjectNature-based solutionsen
dc.titleEmpirical Valuation of Watershed Services: A Spatial Instrumental Variable Regression Model of Treatment Plants in Canadaen
dc.typeConference Posteren
dcterms.bibliographicCitationMir, K & Brouwer, R. (2023) Empirical Valuation of Watershed Services: A Spatial Instrumental Variable Regression Model of Treatment Plants in Canada. Global Water Futures (GWF) Annual Open Science Meeting Conference. University of Waterloo.en
uws.contributor.affiliation1Faculty of Artsen
uws.contributor.affiliation2Water Instituteen

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