IDEAS home Printed from https://ideas.repec.org/a/taf/ecsysr/v23y2011i4p387-407.html
   My bibliography  Save this article

Policies And Technologies For A Sustainable Use Of Water In Mexico: A Scenario Analysis

Author

Listed:
  • Carlos López-Morales
  • Faye Duchin

Abstract

Water stress in Mexico is intimately linked to agriculture, as irrigation claims 75% of national water withdrawals. The Mexican mix of irrigation technologies is dominated by flood techniques, utilized on 93% of irrigated land, while drip and sprinkler systems, both with higher application efficiencies, are utilized on only 7% of irrigated land. This paper examines the extent to which government policies can induce the adoption of alternative irrigation technologies to promote a sustainable pattern of water withdrawals. The framework is an inter-regional input--output model formulated as a linear program that solves for cost-minimizing allocations of output that are constrained by regional factor availability. The model features endogenous choice among alternative agricultural technologies and determines commodity prices based on factor costs and on scarcity rents for limiting factors of production. The study defines and quantifies sustainable endowments of water at the regional level and analyzes scenarios that combine fees or caps on water withdrawals with the availability of alternative irrigation technologies. We find that water policies can induce technology adoption to achieve water sustainability, although the national price of agricultural output rises 5% to 8% relative to baseline levels. Furthermore, pricing water for irrigation can generate enough public revenue for the government to cover the full costs of technology adoption.

Suggested Citation

  • Carlos López-Morales & Faye Duchin, 2011. "Policies And Technologies For A Sustainable Use Of Water In Mexico: A Scenario Analysis," Economic Systems Research, Taylor & Francis Journals, vol. 23(4), pages 387-407, September.
    • Handle: RePEc:taf:ecsysr:v:23:y:2011:i:4:p:387-407
    DOI: 10.1080/09535314.2011.635138
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09535314.2011.635138
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/09535314.2011.635138?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Maria Berrittella & Katrin Rehdanz & Roberto Roson & Richard S.J. Tol, 2006. "The Economic Impact Of Water Pricing: A Computable General Equilibrium Analysis," Working Papers FNU-96, Research unit Sustainability and Global Change, Hamburg University, revised Jan 2006.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Okadera, Tomohiro & Geng, Yong & Fujita, Tsuyoshi & Dong, Huijuan & Liu, Zhu & Yoshida, Noboru & Kanazawa, Takaaki, 2015. "Evaluating the water footprint of the energy supply of Liaoning Province, China: A regional input–output analysis approach," Energy Policy, Elsevier, vol. 78(C), pages 148-157.
    2. Kelly, T.D. & Foster, T. & Schultz, David M., 2023. "Assessing the value of adapting irrigation strategies within the season," Agricultural Water Management, Elsevier, vol. 275(C).
    3. Faye Duchin, 2017. "Resources for Sustainable Economic Development: A Framework for Evaluating Infrastructure System Alternatives," Sustainability, MDPI, vol. 9(11), pages 1-15, November.
    4. Okadera, Tomohiro & Chontanawat, Jaruwan & Gheewala, Shabbir H., 2014. "Water footprint for energy production and supply in Thailand," Energy, Elsevier, vol. 77(C), pages 49-56.
    5. Galioto, Francesco & Guerra, Elisa & Raggi, Meri & Viaggi, Davide, 2015. "Toward the adaptation to new regulation on water pricing in the agricultural sector: a case study from northern Italy," 2015 Fourth Congress, June 11-12, 2015, Ancona, Italy 207358, Italian Association of Agricultural and Applied Economics (AIEAA).
    6. Roxana Juliá & Faye Duchin, 2013. "Land Use Change and Global Adaptations to Climate Change," Sustainability, MDPI, vol. 5(12), pages 1-18, December.
    7. Joost R. Santos & Sheree T. Pagsuyoin & Lucia C. Herrera & Raymond R. Tan & Krista D. Yu, 2014. "Analysis of drought risk management strategies using dynamic inoperability input–output modeling and event tree analysis," Environment Systems and Decisions, Springer, vol. 34(4), pages 492-506, December.
    8. Sheree A Pagsuyoin & Joost R Santos, 2021. "Modeling regional impacts and resilience to water service disruptions in urban economies," Environment and Planning B, , vol. 48(5), pages 1058-1074, June.
    9. Cristina Sarasa & Jean-Marc Philip & Julio Sánchez-Chóliz, 2013. "A tax policy strategy faces with future water availability using a dynamic CGE approach," EcoMod2013 5349, EcoMod.
    10. Makiko Tsukui & Shigemi Kagawa & Yasushi Kondo, 2015. "Measuring the waste footprint of cities in Japan: an interregional waste input–output analysis," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 4(1), pages 1-24, December.
    11. Ortuzar, Iban & Serrano, Ana & Xabadia, Àngels, 2023. "Macroeconomic impacts of water allocation under droughts. Accounting for global supply chains in a multiregional context," Ecological Economics, Elsevier, vol. 211(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dinar, Ariel, 2012. "Economy-wide implications of direct and indirect policy interventions in the water sector: lessons from recent work and future research needs," Policy Research Working Paper Series 6068, The World Bank.
    2. Xiuli Liu & Xikang Chen & Shouyang Wang, 2009. "Evaluating and Predicting Shadow Prices of Water Resources in China and Its Nine Major River Basins," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 23(8), pages 1467-1478, June.
    3. Alvaro Calzadilla & Katrin Rehdanz & Richard Betts & Pete Falloon & Andy Wiltshire & Richard Tol, 2013. "Climate change impacts on global agriculture," Climatic Change, Springer, vol. 120(1), pages 357-374, September.
    4. Calzadilla, Alvaro & Rehdanz, Katrin & Tol, Richard S.J., 2008. "Water scarcity and the impact of improved irrigation management: A CGE analysis," Conference papers 331788, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    5. Banerjee, Onil & Crossman, Neville & Vargas, Renato & Brander, Luke & Verburg, Peter & Cicowiez, Martin & Hauck, Jennifer & McKenzie, Emily, 2020. "Global socio-economic impacts of changes in natural capital and ecosystem services: State of play and new modeling approaches," Ecosystem Services, Elsevier, vol. 46(C).
    6. 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.
    7. Chokri Thabet, 2014. "Water Policy and Poverty Reduction in Rural Area: A Comparative Economy Wide Analysis for Morocco and Tunisia," Working Papers 860, Economic Research Forum, revised Nov 2014.
    8. Roberto Roson & Martina Sartori, 2011. "Climate Change and Virtual Water Trade in the Mediterranean," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 3, September.
    9. Onil Banerjee & Martin Cicowiez & Mark Horridge & Renato Vargas, 2016. "A Conceptual Framework for Integrated Economic-Environmental Modelling," CEDLAS, Working Papers 0202, CEDLAS, Universidad Nacional de La Plata.
    10. 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.
    11. Faust, Anne-Kathrin & Gonseth, Camille & Vielle, Marc, 2012. "The economic impact of climate driven changes in water availability in Switzerland," Conference papers 332185, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    12. Roberto Ponce & Ramiro Parrado, 2015. "Climate Change, Water Scarcity on Agriculture and the Economy-Wide: impacts in the LAC Region," Serie Working Papers 16, Universidad del Desarrollo, School of Business and Economics.
    13. Alvaro Calzadilla & Katrin Rehdanz & Richard S.J. Tol, 2008. "The Eonomic Impact Of More Sustainable Water Use In Agriculture: A Computable General Equilibrium Analysis," Working Papers FNU-169, Research unit Sustainability and Global Change, Hamburg University, revised Dec 2008.
    14. Calzadilla, Alvaro & Rehdanz, Katrin & Tol, Richard S.J., 2011. "The GTAP-W model: Accounting for water use in agriculture," Kiel Working Papers 1745, Kiel Institute for the World Economy (IfW Kiel).
    15. 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.
    16. Strzepek, Kenneth M. & Yohe, Gary W. & Tol, Richard S.J. & Rosegrant, Mark W., 2008. "The value of the high Aswan Dam to the Egyptian economy," Ecological Economics, Elsevier, vol. 66(1), pages 117-126, May.
    17. Valeria Di Cosmo, 2011. "Are the Consumers Always Ready to Pay? A Quasi-Almost Ideal Demand System for the Italian Water Sector," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 25(2), pages 465-481, January.
    18. Niemeyer, Insa & Garrido, Alberto, 2011. "Latin American Agricultural Trade: The Role of the WTO in Sustainable Virtual Water Flows," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114615, European Association of Agricultural Economists.
    19. Roberto Roson & Martina Sartori, 2010. "Water Scarcity and Virtual Water Trade in the Mediterranean," Working Papers 2010_08, Department of Economics, University of Venice "Ca' Foscari".

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:ecsysr:v:23:y:2011:i:4:p:387-407. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CESR20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.