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Real and ideal water rights:the prospects for water-rights reform in Israel, Gaza, and the West Bank

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  • Berck, Peter
  • Lipow, Jonathan

Abstract

The ideal water contract for a heterogeneous population of users is a prioritized right that is fully vested and fully tradable. A set of tradable, prioritized rights contracts will span the same space as the Debreu contingent commodities. Therefore, they lead to a competitive equilibrium that is Pareto optimal. Equal sharing of water shortfalls does not have this property. Existing water policies in Israel and the Disputed Territories are not characterized by an efficient set of water contracts. The system misallocates water over both time and space. Current policies are driven by strategic and ideological objectives. With peace, reform of water policies will become politically feasible. The paper concludes with a proposal for a new water-allocation system.

Suggested Citation

  • Berck, Peter & Lipow, Jonathan, 1993. "Real and ideal water rights:the prospects for water-rights reform in Israel, Gaza, and the West Bank," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt9hn2x3j5, Department of Agricultural & Resource Economics, UC Berkeley.
    • Handle: RePEc:cdl:agrebk:qt9hn2x3j5
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    References listed on IDEAS

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    1. Peter Berck & Gloria Helfand, 1990. "Reconciling the von Liebig and Differentiable Crop Production Functions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(4), pages 985-996.
    2. 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.
    3. Burness, H Stuart & Quirk, James P, 1979. "Appropriative Water Rights and the Efficient Allocation of Resources," American Economic Review, American Economic Association, vol. 69(1), pages 25-37, March.
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