A Primer on Consumer Surplus and Demand : Common Questions and Answers
Measuring consumer's surplus is an increasingly popular approach to quantifying the monetary benefits of energy projects at the World Bank. This paper provides a brief primer on the concept and addresses some concerns and criticisms for this...
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World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2006/05/7089743/primer-consumer-surplus-demand-common-questions-answers http://hdl.handle.net/10986/17960 |
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okr-10986-179602021-04-23T14:03:38Z A Primer on Consumer Surplus and Demand : Common Questions and Answers Peskin, Henry M. APPROACH BATTERIES CONSUMER DEMAND CONSUMER SURPLUS CONSUMERS CONSUMPTION LEVELS CONTINGENT VALUATION DEMAND CURVE DEMAND CURVES ELECTRICITY ELECTRICITY DEMAND ELECTRICITY SUPPLY ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY NEEDS ENERGY POLICIES ENERGY POLICY ENERGY PRICES INCOME KEROSENE LIVING STANDARDS MARKET PRICE MICROECONOMIC ANALYSIS PRICE CHANGES PRICE OF ELECTRICITY PUBLIC UTILITIES RURAL ELECTRIFICATION SUBSTITUTE SURPLUS TAXATION TRANSITION ECONOMIES WEALTH Measuring consumer's surplus is an increasingly popular approach to quantifying the monetary benefits of energy projects at the World Bank. This paper provides a brief primer on the concept and addresses some concerns and criticisms for this method. The contents include: consumer demand - this paper assumes that the benefit measured by consumer's surplus is a satisfactory measure of the benefit of policy that brings about lower energy prices and considers key challenges in this approach; estimating the demand curve; are two points adequate for estimating the demand curve - a large gain in consumer's surplus is an expected outcome of the large fall in energy costs due to electrification; whose demand curve is it anyway; does willingness-to-pay overestimate ability-to-pay; why is consumer's surplus so large; aren't the estimates affected by subsidies and taxation; and why not simply ask consumers about their benefits from electrification. 2014-04-22T18:07:27Z 2014-04-22T18:07:27Z 2006-05 http://documents.worldbank.org/curated/en/2006/05/7089743/primer-consumer-surplus-demand-common-questions-answers http://hdl.handle.net/10986/17960 English en_US Knowledge Exchange series;no. 5 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: ESMAP Paper Publications & Research Publications & Research :: Brief |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
APPROACH BATTERIES CONSUMER DEMAND CONSUMER SURPLUS CONSUMERS CONSUMPTION LEVELS CONTINGENT VALUATION DEMAND CURVE DEMAND CURVES ELECTRICITY ELECTRICITY DEMAND ELECTRICITY SUPPLY ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY NEEDS ENERGY POLICIES ENERGY POLICY ENERGY PRICES INCOME KEROSENE LIVING STANDARDS MARKET PRICE MICROECONOMIC ANALYSIS PRICE CHANGES PRICE OF ELECTRICITY PUBLIC UTILITIES RURAL ELECTRIFICATION SUBSTITUTE SURPLUS TAXATION TRANSITION ECONOMIES WEALTH |
| spellingShingle |
APPROACH BATTERIES CONSUMER DEMAND CONSUMER SURPLUS CONSUMERS CONSUMPTION LEVELS CONTINGENT VALUATION DEMAND CURVE DEMAND CURVES ELECTRICITY ELECTRICITY DEMAND ELECTRICITY SUPPLY ENERGY CONSUMPTION ENERGY COSTS ENERGY DEMAND ENERGY NEEDS ENERGY POLICIES ENERGY POLICY ENERGY PRICES INCOME KEROSENE LIVING STANDARDS MARKET PRICE MICROECONOMIC ANALYSIS PRICE CHANGES PRICE OF ELECTRICITY PUBLIC UTILITIES RURAL ELECTRIFICATION SUBSTITUTE SURPLUS TAXATION TRANSITION ECONOMIES WEALTH Peskin, Henry M. A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| relation |
Knowledge Exchange series;no. 5 |
| description |
Measuring consumer's surplus is an
increasingly popular approach to quantifying the monetary
benefits of energy projects at the World Bank. This paper
provides a brief primer on the concept and addresses some
concerns and criticisms for this method. The contents
include: consumer demand - this paper assumes that the
benefit measured by consumer's surplus is a
satisfactory measure of the benefit of policy that brings
about lower energy prices and considers key challenges in
this approach; estimating the demand curve; are two points
adequate for estimating the demand curve - a large gain in
consumer's surplus is an expected outcome of the large
fall in energy costs due to electrification; whose demand
curve is it anyway; does willingness-to-pay overestimate
ability-to-pay; why is consumer's surplus so large;
aren't the estimates affected by subsidies and
taxation; and why not simply ask consumers about their
benefits from electrification. |
| format |
Publications & Research :: ESMAP Paper |
| author |
Peskin, Henry M. |
| author_facet |
Peskin, Henry M. |
| author_sort |
Peskin, Henry M. |
| title |
A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| title_short |
A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| title_full |
A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| title_fullStr |
A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| title_full_unstemmed |
A Primer on Consumer Surplus and Demand : Common Questions and Answers |
| title_sort |
primer on consumer surplus and demand : common questions and answers |
| publisher |
World Bank, Washington, DC |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2006/05/7089743/primer-consumer-surplus-demand-common-questions-answers http://hdl.handle.net/10986/17960 |
| _version_ |
1764437542148505600 |