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Integrating Water Resources into Computable General Equilibrium Models - A Survey

Author

Listed:
  • Roberto Ponce

    (Department of Economics, Ca’ Foscari University, Italy)

  • Francesco Bosello

    (Fondazione Eni Enrico Mattei, Italy)

  • Carlo Giupponi

    (Department of Economics, Ca’ Foscari University, Italy)

Abstract

Water resources are facing several stresses in terms of quantity and quality. These pressures are closely related to the human interventions in fields like: agriculture, land-use/land use change, construction/management of reservoirs, pollutant emissions, and water /wastewater treatment, among others. Considering the critical role that water plays for agricultural production, any shock in water availability will have great implications for agricultural production, and through agricultural markets these impacts will reach the whole economy with economy-wide consequences. The aim of this report is to present a literature review about the state of the art methodology regarding the study of water issues using the CGE approach at global and national scale. The analysis of the different studies confirms the economy wide consequences of changes in water allocation, irrigation policies, and climate change, among others water related issues.

Suggested Citation

  • Roberto Ponce & Francesco Bosello & Carlo Giupponi, 2012. "Integrating Water Resources into Computable General Equilibrium Models - A Survey," Working Papers 2012.57, Fondazione Eni Enrico Mattei.
    • Handle: RePEc:fem:femwpa:2012.57
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    References listed on IDEAS

    as
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    5. Maria Berrittella & Katrin Rehdanz & Richard S.J. Tol, 2006. "The Economic Impact of the South-North Water Transfer Project in China: A Computable General Equilibrium Analysis," Working Papers 2006.154, Fondazione Eni Enrico Mattei.
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    19. Rehdanz, Katrin & Berrittella, Maria & S.J. Tol, Richard & Zhang, Jian, 2008. "The Impact of Trade Liberalization on Water Use: A Computable General Equilibrium Analysis," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 23, pages 631-655.
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    Cited by:

    1. Jason F.L. Koopman & Onno Kuik & Richard S.J. Tol & Roy Brouwer, 2015. "Water Scarcity From Climate Change And Adaptation Response In An International River Basin Context," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 6(01), pages 1-22.
    2. Rehab Osman & Emanuele Ferrari & Scott McDonald, 2016. "Water Scarcity and Irrigation Efficiency in Egypt," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 2(04), pages 1-28, December.
    3. Francesco Bosello & Lorenza Campagnolo & Raffaello Cervigni & Fabio Eboli, 2018. "Climate Change and Adaptation: The Case of Nigerian Agriculture," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 69(4), pages 787-810, April.
    4. Jason F. L. Koopman & Onno Kuik & Richard S. J. Tol & Roy Brouwer, 2017. "The potential of water markets to allocate water between industry, agriculture, and public water utilities as an adaptation mechanism to climate change," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 22(2), pages 325-347, February.
    5. Jing Liu & Thomas Hertel & Farzad Taheripour, 2016. "Analyzing Future Water Scarcity in Computable General Equilibrium Models," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 2(04), pages 1-30, December.
    6. Ferrari, Emanuele & McDonald, Scott & Osman, Rehab, 2013. "Nile Water Availability and Agricultural Productivity in Egypt: A CGE Approach," Conference papers 332386, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Na Li & Xiaojun Wang & Minjun Shi & Hong Yang, 2015. "Economic Impacts of Total Water Use Control in the Heihe River Basin in Northwestern China—An Integrated CGE-BEM Modeling Approach," Sustainability, MDPI, vol. 7(3), pages 1-19, March.
    8. Osman, Rehab & Ferrari, Emanuele & McDonald, Scott, 2015. "Water Quality Assessment SAM/CGE and Satellite Accounts Integrated Framework-Egypt," 89th Annual Conference, April 13-15, 2015, Warwick University, Coventry, UK 204292, Agricultural Economics Society.
    9. Teotónio, Carla & Rodríguez, Miguel & Roebeling, Peter & Fortes, Patrícia, 2020. "Water competition through the ‘water-energy’ nexus: Assessing the economic impacts of climate change in a Mediterranean context," Energy Economics, Elsevier, vol. 85(C).
    10. Ponce, Roberto & Parrado, Ramiro & Stehr, Alejandra & Bosello, Francesco, 2016. "Climate Change, Water Scarcity in Agriculture and the Economy-Wide Impacts in a CGE Framework," EIA: Climate Change: Economic Impacts and Adaptation 251813, Fondazione Eni Enrico Mattei (FEEM).
    11. Nielsen, Thea & Schunemann, Franziska & McNulty, Emily & Zeller, Manfred & Nkonya, Ephraim M. & Kato, Edward & Meyer, Stefan & Anderson, Weston & Zhu, Tingju & Queface, Antonio & Mapemba, Lawrence, 2015. "The food-energy-water security nexus: Definitions, policies, and methods in an application to Malawi and Mozambique:," IFPRI discussion papers 1480, International Food Policy Research Institute (IFPRI).

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    More about this item

    Keywords

    Computable General Equilibrium Models; Water; Irrigation; Agricultural Policy; Water Allocation;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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