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The Effects of the Energy Price Reform on Households Consumption in Iran
2013
Social Science Research Network
Preserved Fulltext
The effectiveness of the recent energy price reform in Iran is analyzed. Energy demand elasticities for households in different income groups are estimated. A two-stage optimization model was applied to estimate the system of equations using micro-data for 2001-2008. The price elasticities are small and income elasticities rather large, but responses are heterogeneous. A price and non-price reform policy package is needed for different income groups and regions.
doi:10.2139/ssrn.2333999
fatcat:mfopyfgxdzgzleksoj5zukbcaa