• The Transactions of the Korean Institute of Electrical Engineers A
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• v.50 no.12
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• pp.568-574
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• 2001

The variations of real time electric power price in competitive electricity markets have influence on electric power demands of the consumers. The effects of the consumers for electric power price can be expressed the price elasticity coefficient of the power demand as a measurement. Residential, commercial, and industrial consumers with different characteristics cause the different price elasticity of the power demand due to changing the pattern of consumption. It is necessary that the effects of electric power demands as a function of elasticity coefficient for each loads should be analyzed in Korea which is processing deregulated electric market. Therefore, this paper calculate the elasticity coefficient of each loads and analysis the effects of electric power demands as a function of elasticity coefficient of inflexible and flexible consumers in competitive electricity market.

• Korea Trade Review
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• v.46 no.4
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• pp.219-234
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• 2021

Armington elasticity has been a methodology for analyzing how much imports could increase in response to importing price cuts, assuming the possibility of incomplete substitution of domestic and imported products. This study calculates Armington elasticity values in Korean fisheries sector and presents an analysis method for classifying items based on price and preference differences. The model is modified reflecting the characteristics of the fisheries market along with the typical OLS, PAM, and ECM models. The result's implication is that products with a high import growth rate do not necessarily show a high Armington value, but it could be seen that price is not the only factor facilitating fisheries imports increase. Considering the items of which demand increases due to importing price cuts have an indiscriminate demand between domestic and imported products, the results could be interpreted that the Korean fisheries importing market has been easily affected by the changes in import prices. Fisheries grouping by price and preference demonstrates that explanatory variables other than price should be considered when estimating import demand.

• Journal of Energy Engineering
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• v.21 no.3
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• pp.301-308
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• 2012

This paper attempts to estimate the demand function for the transport LPG and to analyze long-run and short-run price and income elasticities. In addition, the paper measures consumer surplus and economic value ensuing from the transport LPG consumption by utilizing the estimated long-run price elasticity. The price and the income data are the monthly real transport LPG price and the monthly composite index adjusted by real transport LPG price from 2003 to 2012. Unit root test, co-integration test and error correction model are to take the procedure of estimation of demand curve. The demand for transport LPG is considered to be inelastic and the long-run demand is more elasticity than that of short-run. Price elasticity of demand estimate here is -0.422, and the estimated consumer surplus and economic value in 2010/03 are 966 and 1,781 billion won, respectively.

• KIEE International Transactions on Power Engineering
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• v.5A no.4
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• pp.403-411
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• 2005

At present, the Cournot model is one of the most commonly used theories to analyze the gaming situation in an oligopoly type market. However, several problems exist in the successful application of this model to the electricity market. The representative one is obtaining the inverse demand curve able to be induced from the relationship between market price and demand response. In the Cournot model, each player offers their generation quantity to obtain maximum profit, which is accomplished by reducing their quantity compared with available total capacity. As stated above, to obtain the probable Cournot equilibrium to reflect the real market situation, we have to induce the correct demand function first of all. Usually the correlation between price and demand appears over the long-term through statistical data analysis (for example, regression analysis) or by investigating consumer utility functions of several consumer groups classified as residential, industrial, and commercial. However, the elasticity has a tendency to change continuously according to the total market demand size or the level of market price. Therefore it should be updated as the trading period passes by. In this paper we propose a method for inducing and updating this price elasticity of demand function for more realistic market equilibrium.

• Environmental and Resource Economics Review
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• v.16 no.4
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• pp.781-802
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• 2007

This study estimates a demand function for municipal water in Seoul area using a Stone-Geary functional form. The Stone-Geary model offers more precise estimates for price elasticity of water demand since it explicitly separates 'basic demand' which is not influenced by the price from 'economic demand' which depends on the price. Our results show that about 84% of the total water demand is the basic demand. The results suggest that the minimum consumption range m stepwise price system should be lowered from $30m^3$ to $15m^3$ per month.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.16 no.9
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• pp.5843-5849
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• 2015

This study analyzes the factor demand structure of sweet persimmon as a part of finding out cost cutting measures. Income and cost data from 2001~2013 Agricultural Income Survey are used for placing the translog cost function and estimating price elasticies and cross elasticities of labor, capital and intermediate input. The result shows that own price elasticities of all factors are small in absolute terms. Additionally the result indicates capital and intermediate input cannot be a substitution for labor, which is a top-line cost-share. It means that the demand for labor cconstitutionally can't be reduced in a short time. This implies that cost reduction should be done focusing on intermediate input, particularly on fertilizer and materials which have higher price elasticity of demand.

• Proceedings of the KIEE Conference
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• 2005.11b
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• pp.168-170
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• 2005

At present Cournot model is one of the most commonly used theories to analyze the gaming situation in oligopoly market. But there exist several problems to apply this model to electricity market. The representative one is to obtain the inverse demand curve able to be induced from the relationship between market price and demand response. In Cournot model, each player offers their generation quantity to accomplish maximum profit, which is accomplished by reducing their quantity compared with available total capacity. As stated above, to obtain the probable Cournot equilibrium to reflect real market situation, we have to induce the correct demand function first of all. Usually the correlation between price and demand appears on the long-term basis through the statistical data analysis (for example, regression analysis) or by investigating consumer utility functions of several consumer groups classified as residential, industrial, and commercial. However, the elasticity has a tendency to change continuously according to the total market demand size or the level of market price. Therefore it should be updated as trading period passes by. In this paper we propose a method for inducing and updating this price elasticity of demand function for more realistic market equilibrium

• The Transactions of the Korean Institute of Electrical Engineers A
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• v.54 no.2
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• pp.79-87
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• 2005

At present Cournot model is one of the most commonly used theories to analyze the gaming situation in oligopoly market. But there exist several problems to apply this model to electricity market. The representative one is to obtain the inverse demand curve able to be induced from the relationship between market price and demand response. In Cournot model, each player offers their generation quantity to accomplish maximum profit, which is accomplished by reducing their quantity compared with available total capacity. As stated above, to obtain the probable Cournot equilibrium to reflect real market situation, we have to induce the correct demand function first of all. Usually the correlation between price and demand appears on the long-term basis through the statistical data analysis (for example, regression analysis) or by investigating consumer utility functions of several consumer groups classified as residential, industrial, and commercial. However, the elasticity has a tendency to change continuously according to the total market demand size or the level of market price. Therefore it should be updated as trading period passes by. In this paper we propose a method for inducing and updating this price elasticity of demand function for more realistic market equilibrium.

• Management Science and Financial Engineering
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• v.18 no.1
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• pp.21-26
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• 2012

Two previous studies that attempted to generalize the deterministic joint pricing-inventory decision model are reevaluated. We prove analytically that even in a single-product environment, the EOQ model with constant priceelastic demand cannot find optimal solutions unless two optimality conditions associated with price elasticity and demand magnitude are satisfied. Due to the inexistence of the general optimality for the problem, demand function and price elasticity must be evaluated and bounded properly to use the methods proposed in the previous studies.

• Journal of Agricultural Extension & Community Development
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• v.23 no.1
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• pp.27-37
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• 2016

This paper estimated the demand function of the cuts of pork by using the consumer panel and the weather data from the Korea Meteorological Administration with a log-log model and AIDS model. The results show that the price elasticity of demand for cuts of pork is high in the sequence of arm shoulder, leg, special cuts, tenderloin, blade shoulder. In contrast, spare rib, belly and loin are classified as low price elasticity of demand. The income elasticities of demand for leg and blade shoulder are 11% and 7.6% respectively. The loin is classified as inferior goods, because demand decreases when income increases. The results also demonstrate show that the demand increases highly in the sequence of loin, arm shoulder, spare rib, belly if housewife is older, and the demand of belly increases when family number increases. Belly substitutes every cut except spare rib, and tenderloin substitutes special cuts. Spare rib, on the other hand, does not substitute other cuts. In addition, job status, family member, husband job, purchasing place, consumer characteristic, eating-out times, purchasing time, and weather are statistically significant.