Muhammad Halley Yudhistira, Prani Sastiono, Melly Meliyawati
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引用次数: 6
Abstract
We exploit sudden changes in the marginal tariff scheme to estimate the price elasticity of water demand using households' and firms' data in Tangerang Regency, a part of the Jakarta Greater Metropolitan Area, where water demand management is imperative due to the city's growing population and industrial activities. A monthly water consumption dataset at the consumer level is used in our study. Using the regression discontinuity in time (RDiT) approach, we find the price elasticity of water demand is −0.32 for household consumers and inelastic to changes in price. In contrast, elasticity for industrial and commercial consumers is −1.16, implying a more elastic response. The results raise concerns that firms substitute for a cheaper water source, endangering the water resources sustainability in the area.
期刊介绍：
Water Resources and Economics is one of a series of specialist titles launched by the highly-regarded Water Research. For the purpose of sustainable water resources management, understanding the multiple connections and feedback mechanisms between water resources and the economy is crucial. Water Resources and Economics addresses the financial and economic dimensions associated with water resources use and governance, across different economic sectors like agriculture, energy, industry, shipping, recreation and urban and rural water supply, at local, regional and transboundary scale.
Topics of interest include (but are not restricted to) the economics of:
Aquatic ecosystem services-
Blue economy-
Climate change and flood risk management-
Climate smart agriculture-
Coastal management-
Droughts and water scarcity-
Environmental flows-
Eutrophication-
Food, water, energy nexus-
Groundwater management-
Hydropower generation-
Hydrological risks and uncertainties-
Marine resources-
Nature-based solutions-
Resource recovery-
River restoration-
Storm water harvesting-
Transboundary water allocation-
Urban water management-
Wastewater treatment-
Watershed management-
Water health risks-
Water pollution-
Water quality management-
Water security-
Water stress-
Water technology innovation.
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