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Water Resource Economics: The Analysis of Scarcity, Policies, and Projects

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  • Ronald C. Griffin

    ()
    (Texas A&M University)

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    Abstract

    Economics brings powerful insights to water management, but most water professionals receive limited training in it. This text offers a comprehensive development of water resource economics that is accessible to engineers and natural scientists as well as economists. The goal is to build a practical platform for understanding and performing economic analysis using both theoretical and empirical tools. The mathematics needed to understand the subjects covered in this text include basic optimization methods and integral calculus. Familiarity with microeconomics or natural resource economics is helpful, but all the economics needed is presented and developed progressively in the text. Many water-based example calculations are included. Thus the book can be used for independent study as well as course work. The book focuses on the scarcity of water quantity (rather than water quality). The author presents the economic theory of resource allocation, recognizing the peculiarities imposed by water, and expands the theory to encompass time-defined matters such as ground water depletion. He then discusses such subjects as institutional economics, water law, how economics is used in policy and cost-benefit analysis, the roles of water marketing and water pricing, demand and supply estimation, privatization, and modeling with demand and supply functions. As an aid to readers with specific interests, references to recent literature are given for all of these topics. Each chapter ends with a summary and exercises. All graphic portrayals of economic theory and most calculations are performed using Mathematica software. These programs are downloadable, but their use is entirely optional.

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    Bibliographic Info

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    This book is provided by The MIT Press in its series MIT Press Books with number 026207267x and published in 2006.

    Volume: 1
    Edition: 1
    ISBN: 0-262-07267-X
    Handle: RePEc:mtp:titles:026207267x

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    Web page: http://mitpress.mit.edu

    Related research

    Keywords: water management; water resource economics;

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    Citations

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    Cited by:
    1. Wang, Hua & Xie, Jian & Li, Honglin, 2008. "Domestic water pricing with household surveys : a study of acceptability and willingness to pay in Chongqing, China," Policy Research Working Paper Series 4690, The World Bank.
    2. Erik Ansink & Harold Houba, 2010. "Market Power in Water Markets," Tinbergen Institute Discussion Papers 10-054/1, Tinbergen Institute, revised 16 May 2011.
    3. Giovanni Sechi & Riccardo Zucca & Paola Zuddas, 2013. "Water Costs Allocation in Complex Systems Using a Cooperative Game Theory Approach," Water Resources Management, Springer, Springer, vol. 27(6), pages 1781-1796, April.
    4. Whited, Melissa, 2010. "Economic Impacts of Irrigation Water Transfers on Uvalde County, Texas," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, Mid-Continent Regional Science Association, vol. 40(2).
    5. Sittidaj Pongkijvorasin & James Roumasset & Thomas Kaeo Duarte & Kimberly Burnett, 2008. "Renewable Resource Management with Stock Externalities: Coastal Aquifers and Submarine Groundwater Discharge," Working Papers, University of Hawaii at Manoa, Department of Economics 200808, University of Hawaii at Manoa, Department of Economics.
    6. Christopher Boyer & Damian Adams & Tatiana Borisova & Christopher Clark, 2012. "Factors Driving Water Utility Rate Structure Choice: Evidence from Four Southern U.S. States," Water Resources Management, Springer, Springer, vol. 26(10), pages 2747-2760, August.
    7. Athanasios Kampas & Anna Vasilaki & Athanasios Petsakos & Angeliki Stefopoulou, 2013. "Irrigation Full Cost Assessment: The case of the Pinios Local Organization for Land Reclamation, Greece," Working Papers 2013-1, Agricultural University of Athens, Department Of Agricultural Economics.
    8. Griffin, Ronald C. & Mjelde, James W., 2011. "Distributing water's bounty," Ecological Economics, Elsevier, Elsevier, vol. 72(C), pages 116-128.
    9. Ming-Feng Hung & Bin-Tzong Chie, 2013. "Residential Water Use: Efficiency, Affordability, and Price Elasticity," Water Resources Management, Springer, Springer, vol. 27(1), pages 275-291, January.
    10. Thomas Kaeo Duarte & Sittidaj Pongkijvorasi & James Roumasset & Daniel Amato & Kimberly Burnett, 2010. "Optimal Management of a Hawaiian Coastal Aquifer with Near-Shore Marine Ecological Interactions," Working Papers, University of Hawaii at Manoa, Department of Economics 201021, University of Hawaii at Manoa, Department of Economics.
    11. Xun-Gui Li & Xia Wei & Nai-Ang Wang & Hong-Yi Cheng, 2011. "Maximum Grade Approach to Surplus Floodwater of Hyperconcentration Rivers in Flood Season and its Application," Water Resources Management, Springer, Springer, vol. 25(10), pages 2575-2593, August.
    12. Qureshi, Muhammad Ejaz & Ahmad, Mobin-ud-Din & Whitten, Stuart M. & Kirby, Mac, 2012. "A multi-period positive mathematical programming approach for assessing economic impact of drought in the Murray-Darling Basin, Australia," 2012 Conference (56th), February 7-10, 2012, Freemantle, Australia, Australian Agricultural and Resource Economics Society 124418, Australian Agricultural and Resource Economics Society.
    13. Claudio Arena & Marcella Cannarozzo & Mario Mazzola, 2014. "Screening Investments to Reduce the Risk of Hydrologic Failures in the Headwork System Supplying Apulia (Italy) – Role of Economic Evaluation and Operation Hydrology," Water Resources Management, Springer, Springer, vol. 28(5), pages 1251-1275, March.
    14. Evgenii Matrosov & Silvia Padula & Julien Harou, 2013. "Selecting Portfolios of Water Supply and Demand Management Strategies Under Uncertainty—Contrasting Economic Optimisation and ‘Robust Decision Making’ Approaches," Water Resources Management, Springer, Springer, vol. 27(4), pages 1123-1148, March.
    15. Mahdi Zarghami, 2010. "Urban Water Management Using Fuzzy-Probabilistic Multi-Objective Programming with Dynamic Efficiency," Water Resources Management, Springer, Springer, vol. 24(15), pages 4491-4504, December.
    16. R. Amit & Parthasarathy Ramachandran, 2010. "A Fair Contract for Managing Water Scarcity," Water Resources Management, Springer, Springer, vol. 24(6), pages 1195-1209, April.
    17. David R. Bell & Ronald C. Griffin, 2011. "Urban Water Demand with Periodic Error Correction," Land Economics, University of Wisconsin Press, vol. 87(3), pages 528-544.
    18. Monteiro, Henrique & Roseta-Palma, Catarina, 2007. "Caracterização dos tarifários de abastecimento de água e saneamento em Portugal
      [Portuguese Water Supply and Sewage Tariffs Report]
      ," MPRA Paper 4238, University Library of Munich, Germany.
    19. Aguilar-Benitez, Ismael, 2011. "El cobro por una factibilidad sostenible del agua y el crecimiento urbano disperso en el norte de México
      [Payment for urban water feasibility and the urban dispersed growth in Northern Mexico (a p
      ," MPRA Paper 36481, University Library of Munich, Germany.
    20. Boyer, Christopher N. & Larson, James A. & Roberts, Roland K. & McClure, Angela T. & Tyler, Donald D., 2014. "The impact of field size and energy cost on the profitability of supplemental corn irrigation," Agricultural Systems, Elsevier, Elsevier, vol. 127(C), pages 61-69.

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