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The Effect of a Cap-and-Trade model for Groundwater use: A case study in the Texas Southern High Plains

  • Luitel, Kishor
  • Tewari, Rachna
  • Mitchell, Donna
  • Benson, Aaron
  • Johnson, Phillip

This study evaluated the possibility of implementing a proposed cap and trade policy on water use in the Texas Southern High Plains. The results suggested that the decision of producers to enroll in a cap and trade policy introduced under a restricted 50/50 management plan, will be impacted by water levels in the aquifer and subsequently the viability of pumping irrigation water in the future. It is to be realized that while polices like these will have a definitive impact on the crop-mix and farm income of the region, they could still serve as useful tools to promote long term conservation of groundwater resources in the region.

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File URL: http://purl.umn.edu/149993
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Paper provided by Agricultural and Applied Economics Association in its series 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. with number 149993.

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Date of creation: 2013
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Handle: RePEc:ags:aaea13:149993
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