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A Multicrop Production Model Of Irrigated Agriculture, Applied To Water Allocation Policy Of The Bureau Of Reclamation

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  • Moore, Michael R.
  • Negri, Donald H.
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    Abstract

    Recipients of irrigation water from the Bureau of Reclamation (BuRec) face a future of water conservation. By formally modeling surface water as a fixed, allocatable input to a multioutput firm, this research captures the institutional constraints governing water allocation and , simultaneously, establishes a cohesive approach to analyzing the production effects of BuRec allocation policy. Econometric results show that BuRec-served irrigators'Â’ crop supply and land allocation decisions are generally inelastic with respect to the water constraint. Using the elasticities, a policy simulation of a 10% reduction in BuRec water allocation indicates that production response to reduced water supply would affect the national price of three of ten major crops produced by BuRec-served farms.

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    Bibliographic Info

    Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

    Volume (Year): 17 (1992)
    Issue (Month): 01 (July)
    Pages:

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    Handle: RePEc:ags:jlaare:30736

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    Web page: http://waeaonline.org/
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    Keywords: Resource /Energy Economics and Policy;

    References

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    1. Blaney, Harry F. & Criddle, Wayne D., 1962. "Determining Consumptive Use and Irrigation Water Requirements," Technical Bulletins 171000, United States Department of Agriculture, Economic Research Service.
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    Cited by:
    1. Arnaud Reynaud, 2003. "An Econometric Estimation of Industrial Water Demand in France," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 25(2), pages 213-232, June.
    2. Phoebe Koundouri & Celine Nauges & Vangelis Tzouvelekas, . "Endogenous Technology Adoption Under Production Risk: Theory and Application to Irrigation Technology," Working Papers 0411, University of Crete, Department of Economics.
    3. Boere, Esther & Peerlings, Jack H.M. & Reinhard, Stijn & Kuhlman, Tom & Heijman, Wim J.M., 2012. "Effects of volatile output prices on agricultural land-use change," 123rd Seminar, February 23-24, 2012, Dublin, Ireland 122472, European Association of Agricultural Economists.
    4. Letort, Elodie & Carpentier, Alain, 2009. "Endogeneity of acreage choices in input allocation equations: implied problems and a solution," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49217, Agricultural and Applied Economics Association.
    5. Alain Carpentier & Elodie Letort, 2009. "Modeling acreage decisions within the multinomial Logit framework," Working Papers SMART - LERECO 09-17, INRA UMR SMART.
    6. Letort, Elodie & Carpentier, Alain, 2010. "Variable Input Allocation: Why Heterogeneity Matters?," 120th Seminar, September 2-4, 2010, Chania, Crete 109387, European Association of Agricultural Economists.
    7. Alain Carpentier & Elodie Letort, 2010. "Simple econometric models for short term production choices in cropping systems," Working Papers SMART - LERECO 10-11, INRA UMR SMART.
    8. Holt, Matthew T., 1999. "A Linear Approximate Acreage Allocation Model," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 24(02), December.
    9. Shumway, C. Richard, 1995. "Recent Duality Contributions In Production Economics," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(01), July.
    10. Phoebe Koundouri, 2004. "Current Issues in the Economics of Groundwater Resource Management," Journal of Economic Surveys, Wiley Blackwell, vol. 18(5), pages 703-740, December.
    11. Moore, Michael R. & Gollehon, Noel R. & Carey, Marc B., 1994. "Alternative models of input allocation in multicrop systems: Irrigation water in the Central Plains, United States," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 11(2-3), December.
    12. Bayou Demeke & Ian Coxhead, 2005. "The Effect of National Policies and Labor Market on Land Use Decisions in Developing Countries: An Application of Maximum Simulated Likelihood to System of Censored Acreages with Panel Data," Others 0503007, EconWPA.

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