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Water management reform and the choice of contractual form in China

Author

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  • HUANG, QIUQIONG
  • ROZELLE, SCOTT
  • MSANGI, SIWA
  • WANG, JINXIA
  • HUANG, JIKUN

Abstract

This paper explains the puzzling fact that in organizing the management of surface water, village leaders have provided incentives to canal managers in some areas, but not in all. Our study indicates that the optimal contractual choice depends on the relative abilities of the leader and the manager, the design of the cultivated land, the characteristics of the canal system and the opportunity costs of the leader and the pool of managerial candidates. The unifying mechanism is the relative change in the ability of the leader and manager to perform the unmarketable activities that are needed to provide irrigation services.

Suggested Citation

  • Huang, Qiuqiong & Rozelle, Scott & Msangi, Siwa & Wang, Jinxia & Huang, Jikun, 2008. "Water management reform and the choice of contractual form in China," Environment and Development Economics, Cambridge University Press, vol. 13(2), pages 171-200, April.
  • Handle: RePEc:cup:endeec:v:13:y:2008:i:02:p:171-200_00
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    Cited by:

    1. Huang, Qiuqiong & Rozelle, Scott & Wang, Jinxia & Huang, Jikun, 2009. "Water management institutional reform: A representative look at northern China," Agricultural Water Management, Elsevier, vol. 96(2), pages 215-225, February.
    2. Barker, Randolph & Levine, G., 2012. "Water productivity in context: the experiences of Taiwan and the Philippines over the past half-century," IWMI Research Reports 158343, International Water Management Institute.
    3. Junichi Ito, 2012. "Collective Action for Local Commons Management in Rural Yunnan, China: Empirical Evidence and Hypotheses Using Evolutionary Game Theory," Land Economics, University of Wisconsin Press, vol. 88(1), pages 181-200.
    4. Perrings, Charles, 2014. "Environment and development economics 20 years on," Environment and Development Economics, Cambridge University Press, vol. 19(3), pages 333-366, June.
    5. Huang, Qiuqiong & Wang, Jinxia & Easter, K. William & Rozelle, Scott, 2010. "Empirical assessment of water management institutions in northern China," Agricultural Water Management, Elsevier, vol. 98(2), pages 361-369, December.

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