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Water use and salinity in the MurrayÐDarling Basin: a state-contingent model

Author

Listed:
  • David Adamson

    (Risk and Sustainable Management Group, University of Queensland)

  • Thilak Mallawaarachchi

    (Risk and Sustainable Management Group, University of Queensland)

  • John Quiggin

    (Risk & Sustainable Management Group, School of Economics, University of Queensland)

Abstract

The MurrayÐDarling Basin comprises over 1 million square kilometres; it lies within four states and one territory; and over 12,800 gigalitres of irrigation water is used to produce over 40 per cent of the nation's gross value of agricultural production. The supply of water for irrigation is subject to climatic and policy uncertainty. The object of the present paper is to show how the linear and nonlinear programming models commonly used in modelling problems such as those arising in the MurrayÐDarling Basin may be adapted to incorporate a state-contingent representation of uncertainty.

Suggested Citation

  • David Adamson & Thilak Mallawaarachchi & John Quiggin, 2006. "Water use and salinity in the MurrayÐDarling Basin: a state-contingent model," Murray-Darling Program Working Papers WP5M06, Risk and Sustainable Management Group, University of Queensland.
    • Handle: RePEc:rsm:murray:m06_5
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    File URL: http://www.uq.edu.au/rsmg/WP/WPM06_5.pdf
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    Keywords

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    JEL classification:

    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

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