A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco

Groundwater resources (GW) account for nearly 30% of the world's sustainable water supplies. Yet, this resource, which is fraught with externalities, has largely been left unregulated. The economic literature on GW is predominantly of a partial equilibrium type. We analyze GW regulation in a general...

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Autores principales: Diao, Xinshen, Dinar, Ariel, Roe, Terry L., Tsur, Yacov
Formato: Journal Article
Lenguaje:Inglés
Publicado: Wiley 2008
Materias:
Acceso en línea:https://hdl.handle.net/10568/161382
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author Diao, Xinshen
Dinar, Ariel
Roe, Terry L.
Tsur, Yacov
author_browse Diao, Xinshen
Dinar, Ariel
Roe, Terry L.
Tsur, Yacov
author_facet Diao, Xinshen
Dinar, Ariel
Roe, Terry L.
Tsur, Yacov
author_sort Diao, Xinshen
collection Repository of Agricultural Research Outputs (CGSpace)
description Groundwater resources (GW) account for nearly 30% of the world's sustainable water supplies. Yet, this resource, which is fraught with externalities, has largely been left unregulated. The economic literature on GW is predominantly of a partial equilibrium type. We analyze GW regulation in a general equilibrium setting, focusing on the stabilization value of GW under natural (drought) and economic (rural–urban water transfer) shocks. A general equilibrium approach allows evaluating direct and indirect effects of GW regulation on agriculture and nonagriculture sectors and extends the scope for water policy. The analysis is applied to Morocco by extending an existing computable general equilibrium (CGE) model to include ground and surface water (SW) resources. We study effects of (i) an increase in GW extraction cost (e.g., as a result of prolonged extraction beyond natural recharge that lowers the aquifer's water table), (ii) a transfer of SW from rural (irrigation) to urban (domestic) use, and (iii) a reduction of water availability due to severe drought. We estimate the value of GW and assess the direct (partial equilibrium) and indirect (general equilibrium) impacts. We find that GW plays a critical role in mitigating the negative effects of these types of shocks.
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spelling CGSpace1613822025-04-08T18:30:13Z A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco Diao, Xinshen Dinar, Ariel Roe, Terry L. Tsur, Yacov irrigation water resources groundwater computable general equilibrium models Groundwater resources (GW) account for nearly 30% of the world's sustainable water supplies. Yet, this resource, which is fraught with externalities, has largely been left unregulated. The economic literature on GW is predominantly of a partial equilibrium type. We analyze GW regulation in a general equilibrium setting, focusing on the stabilization value of GW under natural (drought) and economic (rural–urban water transfer) shocks. A general equilibrium approach allows evaluating direct and indirect effects of GW regulation on agriculture and nonagriculture sectors and extends the scope for water policy. The analysis is applied to Morocco by extending an existing computable general equilibrium (CGE) model to include ground and surface water (SW) resources. We study effects of (i) an increase in GW extraction cost (e.g., as a result of prolonged extraction beyond natural recharge that lowers the aquifer's water table), (ii) a transfer of SW from rural (irrigation) to urban (domestic) use, and (iii) a reduction of water availability due to severe drought. We estimate the value of GW and assess the direct (partial equilibrium) and indirect (general equilibrium) impacts. We find that GW plays a critical role in mitigating the negative effects of these types of shocks. 2008-03 2024-11-21T09:55:19Z 2024-11-21T09:55:19Z Journal Article https://hdl.handle.net/10568/161382 en Limited Access Wiley Diao, Xinshen; Dinar, Ariel; Roe Terry L.; Tsur, Yacov. 2008. A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco. Agricultural Economics 38(2): 117-135. https://doi.org/10.1111/j.1574-0862.2008.00287.x
spellingShingle irrigation
water resources
groundwater
computable general equilibrium models
Diao, Xinshen
Dinar, Ariel
Roe, Terry L.
Tsur, Yacov
A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title_full A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title_fullStr A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title_full_unstemmed A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title_short A general equilibrium analysis of conjunctive ground and surface water use with an application to Morocco
title_sort general equilibrium analysis of conjunctive ground and surface water use with an application to morocco
topic irrigation
water resources
groundwater
computable general equilibrium models
url https://hdl.handle.net/10568/161382
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