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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Main Authors: Diao, Xinshen, Dinar, Ariel, Roe, Terry, Tsur, Yacov
Format: Journal Article
Language:EN
Published: 2012
Subjects:
Online Access:http://hdl.handle.net/10986/5649
id okr-10986-5649
recordtype oai_dc
spelling 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
repository_type Digital Repository
institution_category 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
relation 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
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