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Economic development and residential water consumption in Chile

Author

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  • Fercovic, Juan
  • Foster, William
  • Melo, Oscar

Abstract

A better understanding of the relative importance of factors related to climate change and to changes associated with economic growth would serve to inform water policy and to focus scarce public resources on anticipated problems arising from distinct sources of changes in water demand. This article investigates the determinants of residential water consumption in Chile, a developing country that has seen noteworthy changes in incomes, household size, poverty rates and levels of urbanization, and which is projected to experience significant climatic but varied changes, depending on the region of the country. Panel data for 1998-2010 at the municipal level is used to analyze the sensitivity of residential water demand to climate and development-related factors. In the case of Chile, the effect on water consumption of these development-related changes is estimated to be several times that of the changes associated with climate projections for 50 to 80 years in the future.

Suggested Citation

  • Fercovic, Juan & Foster, William & Melo, Oscar, 2019. "Economic development and residential water consumption in Chile," Environment and Development Economics, Cambridge University Press, vol. 24(1), pages 23-46, February.
    • Handle: RePEc:cup:endeec:v:24:y:2019:i:01:p:23-46_00
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    Cited by:

    1. Mardones, Cristian & Orellana, Antonia, 2023. "Estimating production functions to determine the marginal economic value and price elasticity of water in the Chilean industrial sector," Utilities Policy, Elsevier, vol. 85(C).
    2. Djiby Racine Thiam & Ariel Dinar & Hebert Ntuli, 2021. "Promotion of residential water conservation measures in South Africa: the role of water-saving equipment," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(1), pages 173-210, January.
    3. Roger Cremades & Hermine Mitter & Nicu Constantin Tudose & Anabel Sanchez-Plaza & Anil Graves & Annelies Broekman & Steffen Bender & Carlo Giupponi & Phoebe Koundouri & Muhamad Bahri & Sorin Cheval & , 2019. "Ten principles to integrate the water-energy-land nexus with climate services for co-producing local and regional integrated assessments," DEOS Working Papers 1915, Athens University of Economics and Business.
    4. William Ascher, 2023. "Coping with the ambiguities of poverty-alleviation programs and policies: a policy sciences approach," Policy Sciences, Springer;Society of Policy Sciences, vol. 56(2), pages 325-354, June.

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