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Climate change, mitigation and adaptation: the case of the Murray–Darling Basin in Australia

Author

Listed:
  • John Quiggin

    () (Risk and Sustainable Management Group, University of Queensland)

  • David Adamson

    () (Risk and Sustainable Management Group, University of Queensland)

  • Sarah Chambers

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

  • Peggy Schrobback

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

Abstract

Climate change is likely to have substantial effects on irrigated agriculture. It is anticipated that many areas that are already dry will become drier, while areas that already receive high rainfall may experience further increases. Extreme climate events such as droughts are likely to become more common. These patterns are evident in projections of climate change for the Murray–Darling Basin in Australia. To understand the effects of climate change, as modified by mitigation and adaptation, active management responses designed to improve returns in particular states of nature, such as in the case of drought must be considered. A change in the frequency of drought will induce a change in the allocation of land and water between productive activities. Even with action to stabilize atmospheric concentrations of CO2 at or near current levels, climate change will continue for some decades and adaptation will therefore be necessary. Conversely, most adaptation strategies are feasible only if the rate and extent of climate change is limited by mitigation. In this paper, a simulation model of state-contingent production is used to analyze these issues.

Suggested Citation

  • John Quiggin & David Adamson & Sarah Chambers & Peggy Schrobback, 2009. "Climate change, mitigation and adaptation: the case of the Murray–Darling Basin in Australia," Murray-Darling Program Working Papers WP3M09, Risk and Sustainable Management Group, University of Queensland.
  • Handle: RePEc:rsm:murray:m09_3
    as

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    File URL: http://www.uq.edu.au/rsmg/WP/WPM09_03.pdf
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    References listed on IDEAS

    as
    1. David Adamson & Thilak Mallawaarachchi & John Quiggin, 2009. "Declining inflows and more frequent droughts in the Murray-Darling Basin: climate change, impacts and adaptation ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 53(3), pages 345-366, July.
    2. Adamson, David & Mallawaarachchi, Thilak & Quiggin, John, 2004. "Modelling basin level allocation of water in the Murray Darling Basin in a world of uncertainty," Risk and Sustainable Management Group Working Papers 149844, University of Queensland, School of Economics.
    3. Brown, Colin G. & Drynan, Ross G., 1986. "Plant Location Analysis Using Discrete Stochastic Programming," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 30(01), April.
    4. Chambers,Robert G. & Quiggin,John, 2000. "Uncertainty, Production, Choice, and Agency," Cambridge Books, Cambridge University Press, number 9780521785235, April.
    5. K. D. Cocks, 1968. "Discrete Stochastic Programming," Management Science, INFORMS, vol. 15(1), pages 72-79, September.
    6. Colin G. Brown & Ross G. Drynan, 1986. "Plant Location Analysis Using Discrete Stochastic Programming1," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 30(1), pages 1-22, April.
    7. Randall, Alan, 1981. "Property Entitlements And Pricing Policies For A Maturing Water Economy," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 25(03), December.
    8. Kingwell, R. S., 1994. "Risk attitude and dryland farm management," Agricultural Systems, Elsevier, vol. 45(2), pages 191-202.
    9. Carlo Carraro & Francesco Bosello & Enrica De Cian, 2009. "An Analysis of Adaptation as a Response to Climate Change," Working Papers 2009_26, Department of Economics, University of Venice "Ca' Foscari".
    10. Quiggin, John C. & Horowitz, John K., 2003. "Costs of adjustment to climate change," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(4), December.
    11. Alan Randall, 1981. "Property Entitlements And Pricing Policies For A Maturing Water Economy," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 25(3), pages 195-220, December.
    12. Kingwell, Ross S. & Pannell, David J. & Robinson, Stephen D., 1993. "Tactical responses to seasonal conditions in whole-farm planning in Western Australia," Agricultural Economics, Blackwell, vol. 8(3), pages 211-226, March.
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    More about this item

    Keywords

    Irrigation; Uncertainty; Climate Change;

    JEL classification:

    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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