Elasticity of demand with respect to price


Updated on 13/07/2018
Définition
Sens technique
Percentage of variation in water consumption if we increase by 1% the price per m3. Generally, the elasticity of domestic water consumption is very low, because most uses (drinking water, hygiene, etc) are poorly compressible. In contrast, external consumption (watering, car washing, etc) is much more elastic (sharp drop in case of price increase) because it meets non-essential needs.
Source
According to the Ministry for the Environment and IOWater
Thématiques associées
Review status
Soumis au comité de relecture.