• Environmental and Resource Economics Review
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• v.27 no.1
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• pp.195-214
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• 2018

This study estimates the price elasticity of residential water demand in Korea. For that, annual panel data from the year of 2010 to 2013 for 161 local water services is estimated by using panel quantile model. As a result, the price elasticities of residental water demand in Korea are estimated to be between -0.156 and -0.189 depending on its quantile. In addition, the study finds that the estimated elasticity of residential water demand by traditional conditional mean regression is relatively more influenced by high demand areas because the distribution of residental water demand in Korea is left-skewed.