PT  - JOURNAL ARTICLE
AU  - Duke, J. M.
AU  - Ehemann, R.
TI  - An application of water scarcity pricing with varying threshold, elasticity, and deficit
DP  - 2004 Mar 01
TA  - Journal of Soil and Water Conservation
PG  - 59--65
VI  - 59
IP  - 2
4099  - http://www.jswconline.org/content/59/2/59.short
4100  - http://www.jswconline.org/content/59/2/59.full
AB  - This paper modifies a general model of water demand to account for varying thresholds and deficits. Price elasticity of demand is also varied. Actual data on water consumption, demographics, water pricing, and weather are collected from northern New Castle County, Delaware. Under reasonable assumptions, the model predicts the effect of these variables on price. The relationships between price increase and thresholds, elasticities, and deficits are examined in detail. The results suggest that increases in price will induce meaningful levels of conservation, even in the presence of a threshold.