China's water and energy price reform began in the late 1978 after running large-scale interventions in pricing system for long time then has a gradually deep influence on consumer's behaviors. The main objective of this paper is to empirically examine Chinese consumer reactions as a response to the introductions of pricing reform for water and energy resource. This study uses the full nonlinear Almost Ideal Demand System to estimate the income and price elasticities of household demand using expenditure survey data of urban household from 1995 to 2006 across China.