Allocative Inefficiencies Resulting from Subsidies to Agricultural Electricity Use : An Illustrative Model

Allocative Inefficiencies Resulting from Subsidies to Agricultural Electricity Use : An Illustrative Model

This paper provides an analytical discussion of several interconnected resource allocation problems from under-pricing of electricity used by farmers for groundwater extraction. In these situations, groundwater extraction is inefficiently high eve...

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Bibliographic Details
Main Author:	Strand, Jon
Format:	Policy Research Working Paper
Language:	English
Published:	2012
Subjects:	ADVERSE EFFECTS AGRICULTURAL OUTPUT AGRICULTURAL PRODUCTION AGRICULTURAL WATER AGRICULTURE AQUIFER AQUIFERS AVAILABILITY BALANCE BENCHMARK BENCHMARKS BOTTOM LINE CONSTRUCTION CONSUMER GROUPS CONSUMERS CONSUMPTION LEVELS DECENTRALIZATION DEVELOPMENT ECONOMICS DEVELOPMENT POLICY DISTRIBUTION OF ELECTRICITY ECONOMIC EFFICIENCY EFFICIENCY IMPROVEMENT EFFICIENCY IMPROVEMENTS ELECTRIC POWER ELECTRICAL ENERGY ELECTRICAL POWER ELECTRICITY ELECTRICITY CONSUMERS ELECTRICITY CONSUMPTION ELECTRICITY COSTS ELECTRICITY DELIVERY ELECTRICITY OUTPUT ELECTRICITY PRICE ELECTRICITY PRICES ELECTRICITY PRICING ELECTRICITY SHARE ELECTRICITY SUPPLIER ELECTRICITY SUPPLY ELECTRICITY USE ENDOGENOUS VARIABLES ENERGY CONSUMPTION EXTERNALITY EXTRA PUMPING FORMAL ANALYSIS FUTURE RESEARCH GROSS VALUE GROUNDWATER GROUNDWATER PUMPING GROUNDWATER RESOURCES GROUNDWATER TABLE INEFFICIENCY IRRIGATION IRRIGATION WATER MARGINAL COST MARGINAL COST OF ELECTRICITY MARGINAL COSTS MARGINAL PRODUCT MARGINAL UTILITY MARGINAL VALUE NEGATIVE EXTERNALITIES NEGATIVE EXTERNALITY OPPORTUNITY COST OPTIMIZATION POLITICAL ECONOMY POWER CONSUMPTION POWER SECTOR POWER UTILITIES POWER UTILITY PRICE OF ELECTRICITY PUMP EFFICIENCY PUMPING EQUIPMENT PUMPS RENT SEEKING SUGAR CANE SUPPLY OF ELECTRICITY SURFACE WATER UTILITIES UTILITY FUNCTION UTILITY FUNCTIONS VOLTAGE WATER METERS WATER SUPPLY WELLS
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120119134026 http://hdl.handle.net/10986/3240

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