The Review of Economics and Statistics Vol. 66 No. 3 1984
Electricity Demand in a Developing Country
Abstract
This study analyzes the residential and commercial demand for electricity in ten regions in Paraguay for 1970-1977. Models that are both linear and nonlinear in the parameters are estimated. The nonlinear model takes advantage of prior information on the nature of the appliances being utilized and simultaneously deals with the demand discontinuities caused by appliance indivisibility. Three dynamic equations, including a novel cumulative adjustment model, all indicate rapid adjustment to desired appliance stock levels. Finally, the multiproduct surplus loss obtained from an estimated demand equation is used to measure the welfare cost of power outages. 15 references.
- DOI
- 10.2307/1925002
- Volume
- 66
- Issue
- 3
- Pages
- 459
- Sources
- openalex crossref