Informing Water Policies with a Residential Water Demand Function: The Case of Serbia
2016
Reynaud, Arnaud | Lanzanova, Denis | Milovanovic, M.B | de Roo, A
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.
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