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Virtual water and water trade in Andalusia. A study by means of an input-output model

Author

Listed:
  • Erik Dietzenbacher

    (Faculty of Economics, University of Groningen)

  • Esther Velázquez

    (Department of Economics, Universidad Pablo de Olavide)

Abstract

Andalusian agricultural sectors are relatively small, but consume by 90% of the available water resources. More than 50% of the final demands for agricultural products are exported to other Spanish regions or abroad. Using a virtual water concept with an input-output framework, we find that a substantial part of the Andalusian water consumption is necessary for exports. Considering the water content of its trade, Andalusia is found to be a net exporter of water, whereas it is an extremely arid region. Examining regional policy aspects, a reduction in the exports abroad of agricultural products yields considerable benefits in terms of water savings and only moderate costs.

Suggested Citation

  • Erik Dietzenbacher & Esther Velázquez, 2006. "Virtual water and water trade in Andalusia. A study by means of an input-output model," Working Papers 06.06, Universidad Pablo de Olavide, Department of Economics.
    • Handle: RePEc:pab:wpaper:06.06
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    References listed on IDEAS

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    More about this item

    Keywords

    Input-Output Models; Virtual Water; Trade and Sustainability;
    All these keywords.

    JEL classification:

    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

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