Price elasticity of residential water demand in California

Research Article| September 24 2014 Price elasticity of residential water demand in California Juneseok Lee; Juneseok Lee 1Department of Civil and Environmental Engineering, San José State University, San José CA 95112, USA E-mail: Juneseok.Lee@sjsu.edu Search for other works by this author on: This Site PubMed Google Scholar Stephanie A. Tanverakul Stephanie A. Tanverakul 1Department of Civil and Environmental Engineering, San José State University, San José CA 95112, USA Search for other works by this author on: This Site PubMed Google Scholar Journal of Water Supply: Research and Technology-Aqua (2015) 64 (2): 211–218. https://doi.org/10.2166/aqua.2014.082 Article history Received: June 21 2014 Accepted: August 29 2014 Views Icon Views Article contents Figures & tables Video Audio Supplementary Data Share Icon Share MailTo Twitter LinkedIn Tools Icon Tools Cite Icon Cite Permissions Search Site Search Dropdown Menu toolbar search search input Search input auto suggest filter your search All ContentAll JournalsThis Journal Search Advanced Search Citation Juneseok Lee, Stephanie A. Tanverakul; Price elasticity of residential water demand in California. Journal of Water Supply: Research and Technology-Aqua 1 March 2015; 64 (2): 211–218. doi: https://doi.org/10.2166/aqua.2014.082 Download citation file: Ris (Zotero) Reference Manager EasyBib Bookends Mendeley Papers EndNote RefWorks BibTex This study used meta-analysis to assess the influence of price/price structures on residential water demand in two selected urban areas in California: East Los Angeles and South San Francisco. Monthly usage data for the years 2002–2011 were utilized to determine and compare price elasticities for periods when uniform and tiered rates were charged using fixed effects panel regression and Instrumental Variable methods. Price elasticities in East Los Angeles and South San Francisco were −0.39 and −0.22 under uniform rates and −0.44 and 0.43 under tiered rates, respectively. When customers in each city were divided into three groups based upon their lot sizes, those with larger lot sizes tended to react to pricing systems more strongly than those living on smaller lots. These findings will be helpful for water demand stakeholders and policymakers seeking to design and implement more effective water pricing policies to support sustainable water conservation efforts. price elasticity, residential water demand and water conservation © IWA Publishing 2015 You do not currently have access to this content.