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Informing Water Policies with a Residential Water Demand Function: The Case of Serbia

Author

Listed:
  • Arnaud Reynaud
  • Denis Lanzanova
  • Miodrag B. Milovanovic
  • Ad de Roo

Abstract

We provide the first estimate of a household water demand function in Serbia. The econometric model is estimated on a panel dataset made of the 25 Serbian districts (oblasts) covering years 2009 to 2012. Our estimates reveal a price elasticity of the Serbian household water demand varying between -0.2 and -0.9, depending on the model considered. We also demonstrate how the household water demand function can inform water policies in a prospective context. Using our estimates, we explore some possible future patterns of regional household water consumption in Serbia.

Suggested Citation

  • Arnaud Reynaud & Denis Lanzanova & Miodrag B. Milovanovic & Ad de Roo, 2016. "Informing Water Policies with a Residential Water Demand Function: The Case of Serbia," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 13(2), pages 247-266, December.
    • Handle: RePEc:liu:liucej:v:13:y:2016:i:2:p:247-266
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    References listed on IDEAS

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    1. Garcia, Serge & Reynaud, Arnaud, 2004. "Estimating the benefits of efficient water pricing in France," Resource and Energy Economics, Elsevier, vol. 26(1), pages 1-25, March.
    2. Joanne Parker & Robert Wilby, 2013. "Quantifying Household Water Demand: A Review of Theory and Practice in the UK," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 27(4), pages 981-1011, March.
    3. Schleich, Joachim & Hillenbrand, Thomas, 2009. "Determinants of residential water demand in Germany," Ecological Economics, Elsevier, vol. 68(6), pages 1756-1769, April.
    4. Céline Nauges & Alban Thomas, 2000. "Privately Operated Water Utilities, Municipal Price Negotiation, and Estimation of Residential Water Demand: The Case of France," Land Economics, University of Wisconsin Press, vol. 76(1), pages 68-85.
    5. Sylvestre Gaudin & Ronald C. Griffin & Robin C. Sickles, 2001. "Demand Specification for Municipal Water Management: Evaluation of the Stone-Geary Form," Land Economics, University of Wisconsin Press, vol. 77(3), pages 399-422.
    6. Maamar Sebri, 2014. "A meta-analysis of residential water demand studies," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 16(3), pages 499-520, June.
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    Cited by:

    1. María Ángeles García-Valiñas & Sara Suárez-Fernández, 2022. "Are Economic Tools Useful to Manage Residential Water Demand? A Review of Old Issues and Emerging Topics," Post-Print hal-04067487, HAL.

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    More about this item

    Keywords

    Residential Water Demand; Price Elasticity; Water Policy; Serbia;
    All these keywords.

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • Q21 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Demand and Supply; Prices
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

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