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A Water Monetary Standard: An Economic Thesis

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  • Jackson, Michael

Abstract

In emerging markets and economies with limited supplies of potable water, the current monetary policy governing water distribution has failed or will eventually fail. Problems are not limited to developing nations but are magnified by tenuous circumstances. Historically, weaker economies suffer short falls in revenue for operation and proper maintenance of their respective water systems; however, even well funded systems are operating under potentially tenuous circumstances. The goal of this thesis is to offer an alternative to current global policies, through a new paradigm, a water based monetary standard. The immediate benefit of this policy is the elimination of user fees for public water and to protect the ongoing operation through revenues created through recognized rules of sovereignty and fiscal policy. Elimination of fees or associated taxes will lower the daily cost of living, consumer price index (CPI), and the producer price index (PPI) within subject economies. Adoption of this new monetary standard will create an environment of encouraged growth in a more stable economy, thereby increasing tax revenues.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 924.

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Date of creation: May 1995
Date of revision: 2000
Handle: RePEc:pra:mprapa:924

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Keywords: Economic theory; emerging markets; sustainable development; wastewater; water;

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