Scientific Results

  • ID:
    publications-4666
  • Type:
    article
  • Year:
    2004
  • Authors:
    MartĪ“Ā­nezĪ²ā‚¬ĀEspiĪ“Ā±eira, Roberto and MartĪ“Ā­nez-EspiĪ“Ā±eira, Roberto and Nauges, CĪ“Ā©line and Nauges, CĪ“Ā©line
  • Title:
    Is all domestic water consumption sensitive to price control
  • Venue/Journal:
    Applied Economics
  • DOI:
    10.1080/0003684042000218570
  • Research type:
  • Water System:
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  • Abstract:
    This paper presents a model of residential water demand based on the Stone-Geary utility function, which explicitly considers a threshold of water that is insensitive to price and a quantity that can adapt instantaneously to price changes. First, the threshold is assumed constant, being then allowed to vary according to past levels of consumption, a proxy for households' water-using equipment and habits. A measure of the depreciation rate of habits is derived and the effectiveness of price and non-price conservation measures are compared. The results provide useful policy recommendations for the studied case of Seville (Spain).
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