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Agriculture, technological change and environmental sustainability: Looking for a win-win water policy strategy

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  • Llop Llop, Maria
  • Ponce Alifonso, Xavier,

Abstract

This paper analyses the effects that technological changes in agriculture would have on environmental, social and economic indicators. Specifically, our study is focused on two alternative technological improvements: the modernization of water transportation systems versus the increase in the total factor productivity of agriculture. Using a computable general equilibrium model for the Catalan economy, our results suggest that a water policy that leads to greater economic efficiency is not necessarily optimal if we consider social or environmental criteria. Moreover, improving environmental sustainability depends less on the type of technological change than on the institutional framework in which technological change occurs. Keywords: agricultural technological changes, computable general equilibrium model, economic impact, water policy

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Bibliographic Info

Paper provided by Universitat Rovira i Virgili, Department of Economics in its series Working Papers with number 2072/203158.

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Date of creation: 2012
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Handle: RePEc:urv:wpaper:2072/203158

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Keywords: Agricultura -- Innovacions tecnològiques; Equilibri (Economia); Aigua -- Abastament -- Política governamental; 338 - Situació econòmica. Política econòmica. Gestió; control i planificació de l'economia. Producció. Serveis. Turisme. Preus;

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  1. Geoffrey Hewings & Chokri Dridi & Joaquim Guilhoto, 2005. "Impacts of Reallocation of Resource Constraints on the Northeast Economy of Brazil," ERSA conference papers ersa05p14, European Regional Science Association.
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  4. Nadia Belhaj Hassine & Véronique Robichaud & Bernard Decaluwé, 2010. "Agricultural Trade Liberalization, Productivity Gain and Poverty Alleviation: a General Equilibrium Analysis," Cahiers de recherche 1022, CIRPEE.
  5. Maria Berrittella & Katrin Rehdanz & Arjen Y. Hoekstra & Roberto Roson & Richard S.J. Tol, 2006. "The Economic Impact Of Restricted Water Supply: A Computable General Equilibrium Analysis," Working Papers FNU-93, Research unit Sustainability and Global Change, Hamburg University, revised Jul 2006.
  6. Necmi Karagozoglu & Martin Lindell, 2000. "Environmental Management: Testing the Win-Win Model," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 43(6), pages 817-829.
  7. Mohr, Robert D., 2002. "Technical Change, External Economies, and the Porter Hypothesis," Journal of Environmental Economics and Management, Elsevier, vol. 43(1), pages 158-168, January.
  8. Llop Llop, Maria & Ponce Alifonso, Xavier, 2011. "A never-ending debate: Demand versus supply water policies. A CGE analysis for Catalonia," Working Papers 2072/152139, Universitat Rovira i Virgili, Department of Economics.
  9. Lofgren, Hans & Robinson, Sherman, 1997. "The mixed-complementary approach to specifying agricultural supply in computable general equilibrium models:," TMD discussion papers 20, International Food Policy Research Institute (IFPRI).
  10. Phoebe Koundouri & Céline Nauges & Vangelis Tzouvelekas, 2006. "Technology Adoption under Production Uncertainty: Theory and Application to Irrigation Technology," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(3), pages 657-670.
  11. Murat Isik, 2004. "Incentives for Technology Adoption Under Environmental Policy Uncertainty: Implications for Green Payment Programs," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 27(3), pages 247-263, March.
  12. Arndt, Channing & Jensen, Henning Tarp & Robinson, Sherman & Tarp, Finn, 1999. "Marketing margins and agricultural technology in Mozambique:," TMD discussion papers 43, International Food Policy Research Institute (IFPRI).
  13. Dinar, Ariel & Letey, J., 1991. "Agricultural water marketing, allocative efficiency, and drainage reduction," Journal of Environmental Economics and Management, Elsevier, vol. 20(3), pages 210-223, May.
  14. Seung, Chang K. & Harris, Thomas R. & MacDiarmid, Thomas R. & Shaw, W. Douglass, 1998. "Economic Impacts of Water Reallocation: A CGE Analysis for Walker River Basin of Nevada and California," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 28(2).
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