Economics at your fingertips  

The Demand for Water by Single‐Metered and Group‐Metered Households

John Creedy, Justin van de Ven () and Kirsty E. McKenzie

Australian Economic Review, 1998, vol. 31, issue 3, 203-210

Abstract: This paper examines water consumption in group‐metered households. A utility‐maximising model is developed in which the marginal price schedule is approximated by a polynomial function of water consumption. The model is modified to allow for an incentive for group‐metered households to consume more water than if they were separately metered. This occurs if households do not expect their own increase in water consumption to be matched by other households sharing the meter, so that part of the marginal cost of water is shifted to other households. Estimates using Western Australian data are, however, unable to detect any significant effect of this kind, perhaps because the price response itself is small.

Date: 1998
References: Add references at CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed

Downloads: (external link)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0004-9018

Access Statistics for this article

Australian Economic Review is currently edited by Ross Williams, Ian McDonald and Mark Wooden

More articles in Australian Economic Review from The University of Melbourne, Melbourne Institute of Applied Economic and Social Research Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().

Page updated 2021-07-08
Handle: RePEc:bla:ausecr:v:31:y:1998:i:3:p:203-210