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The Effect of Social and Consumption Analytics on Residential Water Demand

30 Pages Posted: 1 Dec 2016 Last revised: 30 Jan 2017

Mehdi Nemati

University of Kentucky - College of Agriculture - Department of Agricultural Economics

Steven Buck

University of Kentucky - College of Agriculture - Department of Agricultural Economics

Hilary Soldati

University of California, Berkeley

Date Written: December 2, 2016

Abstract

In this paper, the effects of Dropcountr on water usage were examined using household- level panel data for the City of Folsom water service area from January-2013 to September-2016. Results suggest that the introduction of the Dropcountr services for the population of households participating in Dropcountr causes a aggregate treatment effect of 7% reduction in water usage with a significant variation in the effect across households dependent on baseline consumption quintile. Households in the highest quintile of baseline consumption reduce consumption by an estimated 13% in response to the Dropcountr service.

Keywords: Automated meters, Non-price conservation, California water, Urban water demand

JEL Classification: Q250, D12

Suggested Citation

Nemati, Mehdi and Buck, Steven and Soldati, Hilary, The Effect of Social and Consumption Analytics on Residential Water Demand (December 2, 2016). Available at SSRN: https://ssrn.com/abstract=2877233

Mehdi Nemati (Contact Author)

University of Kentucky - College of Agriculture - Department of Agricultural Economics ( email )

Lexington, KY 40546
United States

Steven Buck

University of Kentucky - College of Agriculture - Department of Agricultural Economics ( email )

Lexington, KY 40546
United States

Hilary Soldati

University of California, Berkeley ( email )

310 Barrows Hall
Berkeley, CA 94720
United States

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