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 ge...
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okr-10986-56492021-04-23T14:02:23Z A General Equilibrium Analysis of Conjunctive Ground and Surface Water Use with an Application to Morocco Diao, Xinshen Dinar, Ariel Roe, Terry Tsur, Yacov Renewable Resources and Conservation: Water Q250 Renewable Resources and Conservation: Government Policy Q280 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. 2012-03-30T07:33:51Z 2012-03-30T07:33:51Z 2008 Journal Article Agricultural Economics 01695150 http://hdl.handle.net/10986/5649 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article Morocco |
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Digital Repository |
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Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
EN |
topic |
Renewable Resources and Conservation: Water Q250 Renewable Resources and Conservation: Government Policy Q280 |
spellingShingle |
Renewable Resources and Conservation: Water Q250 Renewable Resources and Conservation: Government Policy Q280 Diao, Xinshen Dinar, Ariel Roe, Terry Tsur, Yacov A General Equilibrium Analysis of Conjunctive Ground and Surface Water Use with an Application to Morocco |
geographic_facet |
Morocco |
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http://creativecommons.org/licenses/by-nc-nd/3.0/igo |
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. |
format |
Journal Article |
author |
Diao, Xinshen Dinar, Ariel Roe, Terry Tsur, Yacov |
author_facet |
Diao, Xinshen Dinar, Ariel Roe, Terry Tsur, Yacov |
author_sort |
Diao, Xinshen |
title |
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_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_sort |
general equilibrium analysis of conjunctive ground and surface water use with an application to morocco |
publishDate |
2012 |
url |
http://hdl.handle.net/10986/5649 |
_version_ |
1764395812609064960 |