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Residential Water Consumption: A Cross Country Analysis

Author

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  • R. Quentin Grafton

    () (Crawford School of Public Policy, The Australian National University, Australia)

  • Tom Kompas

    () (Crawford School of Public Policy, The Australian National University, Australia)

  • Hang To

    () (Crawford School of Public Policy, The Australian National University, Australia)

  • Michael Ward

    () (Crawford School of Public Policy, The Australian National University, Australia)

Abstract

Survey data from 10 OECD countries are used to model household water demand. Statistically significant results include: (1) an inelastic average price response is estimated for every country; (2) households not charged volumetrically consume more water than households that are; (3) household size, residence size, higher education, full-time employment and household income increase water consumption; (4) attitudinal characteristics do not have a statistically significant effect on consumption but increase the probability of undertaking water saving behaviors; and (5) promotion of water saving behaviors would be more effective if households faced a volumetric water charge.

Suggested Citation

  • R. Quentin Grafton & Tom Kompas & Hang To & Michael Ward, 2009. "Residential Water Consumption: A Cross Country Analysis," Environmental Economics Research Hub Research Reports 0923, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University, revised Aug 2009.
  • Handle: RePEc:een:eenhrr:0923
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    File URL: https://crawford.anu.edu.au/research_units/eerh/pdf/EERH_RR23.pdf
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    References listed on IDEAS

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    Cited by:

    1. Gsottbauer, Elisabeth & Logar, Ivana & van den Bergh, Jeroen, 2015. "Towards a fair, constructive and consistent criticism of all valuation languages: Comment on Kallis et al. (2013)," Ecological Economics, Elsevier, vol. 112(C), pages 164-169.
    2. Nauges, Celine & Whittington, Dale, 2017. "Evaluating the Performance of Alternative Municipal Water Tariff Designs: Quantifying the Tradeoffs between Equity, Economic Efficiency, and Cost Recovery," World Development, Elsevier, vol. 91(C), pages 125-143.
    3. David Hoyos & Alaitz Artabe, 2017. "Regional Differences in the Price Elasticity of Residential Water Demand in Spain," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 31(3), pages 847-865, February.
    4. Kiran B Krishnamurthy, Chandra & Kriström, Bengt, 2013. "A cross-country analysis of residential electricity demand in 11 OECD-countries," CERE Working Papers 2013:5, CERE - the Center for Environmental and Resource Economics, revised 30 Jun 2014.
    5. Aisbett, Emma & Steinhauser, Ralf, 2011. "Does anybody give a dam? The importance of public awareness for urban water conservation during drought," Research Reports 107850, Australian National University, Environmental Economics Research Hub.
    6. Ghosh, Sanchari & Willett, Keith D., 2016. "Hydro-economic modeling of the benefits and costs of water management in the Santa Cruz border region," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 235663, Agricultural and Applied Economics Association.
    7. Zhao, Jing & Ni, Hongzhen & Peng, Xiujian & Li, Jifeng & Chen, Genfa & Liu, Jinhua, 2016. "Impact of water price reform on water conservation and economic growth in China," Economic Analysis and Policy, Elsevier, vol. 51(C), pages 90-103.
    8. Fullerton, Thomas M., Jr. & White, Katherine & Smith, Wm. Doyle & Walke, Adam G., 2012. "An Empirical Analysis of Halifax Municipal Water Consumption," MPRA Paper 54113, University Library of Munich, Germany, revised 14 Mar 2013.
    9. Kenneth A. Baerenklau & Kurt A. Schwabe & Ariel Dinar, 2014. "The Residential Water Demand Effect of Increasing Block Rate Water Budgets," Land Economics, University of Wisconsin Press, vol. 90(4), pages 683-699.
    10. Grafton, R. Quentin & Chu, Long & Kompas, Tom, 2015. "Optimal water tariffs and supply augmentation for cost-of-service regulated water utilities," Utilities Policy, Elsevier, vol. 34(C), pages 54-62.
    11. Krishnamurthy, Chandra Kiran B. & Kriström, Bengt, 2015. "A cross-country analysis of residential electricity demand in 11 OECD-countries," Resource and Energy Economics, Elsevier, vol. 39(C), pages 68-88.
    12. Jamal Othman & Goh Hong Lip & Yaghoob Jafari, 2014. "Benefits valuation of potable water quality improvement in Malaysia: the case of Kajang Municipality," International Journal of Water Resources Development, Taylor & Francis Journals, vol. 30(4), pages 621-634, December.
    13. repec:eee:rensus:v:81:y:2018:i:p1:p:1530-1547 is not listed on IDEAS
    14. Céline Nauges, 2014. "Greening Household Behaviour and Water," OECD Environment Working Papers 73, OECD Publishing.
    15. Dália Loureiro & Aisha Mamade & Marta Cabral & Conceição Amado & Dídia Covas, 2016. "A Comprehensive Approach for Spatial and Temporal Water Demand Profiling to Improve Management in Network Areas," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 30(10), pages 3443-3457, August.
    16. Chih-Hao Wang & Hongwei Dong, 2017. "Responding to the Drought: A Spatial Statistical Approach to Investigating Residential Water Consumption in Fresno, California," Sustainability, MDPI, Open Access Journal, vol. 9(2), pages 1-15, February.
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    More about this item

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q50 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - General

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