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The Value of Water in the Manufacture Industry and its Implications for Water Demand Policies. The Case of Chile /Valor del agua en la industria manufacturera de Chile y sus implicaciones para las políticas de demanda de agua

Tobarra-González, Miguel Ángel ()
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Tobarra-González, Miguel Ángel: Universidad Politécnica de Cartagena, Facultad de CC.EE., C/ Real, 3, 30201 Cartagena, España.

Estudios de Economia Aplicada, 2018, vol. 36, No 3, 945-960

Abstract: This paper studies the use of water in the manufacture industry of Chile using cross section data of 2,339 firms. A translog production function has been estimated in order to obtain important indicators as marginal productivity water value and demand price elasticity. A marginal value for water of 1,508.6 pesos per m3 (1.99 euros, 2.64 USD) has been obtained for the whole manufacture industry although there are important differences between sectors. Industrial water demand is elastic since price elasticity calculated is 1.1. This indicates that tariff policy can be a proper instrument to get water savings in the manufacture industry of Chile. Este artículo estudia el uso del agua en la industria manufacturera de Chile usando una muestra de 2.339 empresas. Se ha estimado una función de producción translog para obtener importantes indicadores como el valor marginal del agua y la elasticidad precio de la demanda de agua. El valor marginal del agua estimado en este sector es de 1.508,6 pesos por m3 (1,99 euros, 2,64 dólares de Estados Unidos) aunque hay diferencias importantes entre los subsectores que lo conforman. El valor estimado de la elasticidad precio de la demanda de agua en la industria manufacturera es de 1,1 por lo que la política tarifaria es un instrumento adecuado para conseguir ahorros en el consumo de este sector.

Keywords: Demanda de agua industrial; valor marginal del agua; mercados de agua; Industrial Water Demand; Marginal Value Of Water; Water Markets. (search for similar items in EconPapers)
JEL-codes: D24 Q25 (search for similar items in EconPapers)
Date: 2018
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