TABLE OF CONTENTS Page LIST OF TABLES .......................................... iii LIST OF FIGURES ......................................... iii INTRODUCTION .......................................... 1 Area of Study .......................................... 2 Objectives ............................................. 3 BUSINESSES STUDIED .................................... 3 VARIABLE SPECIFICATION .................................. 4 Water Quantity, The Dependent Variable ................. 4 The Price Variable, An Independent Variable ............. 4 Other Independent Variables ............................ 4 Variables for Department Stores ..................... 5 Grocery Stores and Supermarket Variables ........... 5 Motel and Hotel Variables .......................... 5 Restaurant and Cocktail Lounge Variables ............ 6 DATA COLLECTION ....................................... 7 RESULTS FOR INDIVIDUAL STORES ...................... 7 Department Store Group ................................ 7 Grocery Store and Supermarket Group .................... 10 Motels and Hotels ...................................... 12 Eating and Drinking Establishments ..................... 13 Summary of Individual Store Demand Estimation ......... 16 AGGREGATE WATER DEMAND ............................ 16 SUMMARY AND CONCLUSIONS ........................... 19 Summary .............. ............................ 19 Conclusions .......................................... 21 A PPEN DICES ............................................. 23 Appendix A-Economic and Statistical Model Formulation 24 Appendix B-Empirical Estimates and Business Types .... 29 REFERENCES ............................................. 40