Investigating the Economic and Welfare Effects of the Water Market: A Positive Mathematical Programming Model Approach

Subject Areas : Labor and Demographic Economics

fatemeh esmaelnia balagatabi ¹ ( phd student )
ahmad sarlak ² ( economic, )
hadi ghaffari ³ ( عضو هیات علمی /دانشگاه پیام نور )

Received: 2018-11-20 Accepted : 2018-11-20 Published : 2018-07-23

Keywords: Q25, Positive Mathematical Programming, JEL Classification: Q13, Q24. Keywords: Water Market, Varamin Region,

Abstract :

In this study, the aim is to identify the economic and welfare effects of forming the water market in the Varamin region. Changes in the area under aquaculture, gross profit in two situations (water market and lack of water market) during 2011-2016 were calculated and compared using GAMS software and positive mathematical programming model. The results show that the establishment of the water market would have a positive and incremental effect on the gross profit of farmers in the region. Also, Cultivation of crops such as wheat, rice, barley, cucumber and potatoes, tomatoes and garlic has been more profitable and more crops can be planted. Based on the results, it is suggested that the government provide private-sector participation through investment and financial incentives.

References:

منابع

-    بی‌نام(1394). گزارش شرکت آب منطقه‌ای تهران، معاونت طرح و توسعه، دفتر پساب و بازارآب شرکت آب منطقه‌ای تهران.

-    بی‌نام(1390). گزارش شرکت مدیریت منابع آب تهران.

-  چیمه، طیبه، ابراهیمی ،کیومرث، هورفر، عبدالحسین، عراقی نژاد، شهاب (1393). ارزیابی ارزش اقتصادی آب کشاورزی با رویکرد قیمت گذاری بر اساس نوع محصول در دشت قزوین. نشریه پژوهش آب در کشاورزی (علوم خاک و آب)، 28 (1): 181-171.

-  خواجه روشنایی، نرجس، دانشور کاخکی، محمود، محتشمی برزادران، غلامرضا (1389). تعیین ارزش اقتصادی آب در روش تابع تولید با بکارگیری مدل‌های کلاسیک و آنتروپی (مطالعه موردی: محصول گندم در شهرستان مشهد). نشریه اقتصاد و توسعه کشاورزی، 24 (1): 113-119.

-  کرامت‌زاده، علی، چیذری، امیرحسین، شرزه‌ای، غلامعلی (1390) . نقش بازار آب در تعیین ارزش اقتصادی آب کشاورزی با رهیافت برنامه‌ریزی PMP (مطالعه موردی اراضی پایین‌دست  سد شیرین دره بجنورد). مجله تحقیقات و توسعه کشاورزی ایران. 24 (1): 44- 29.

-    نظری، محمدرضا (1395). بازار آب در تئوری و عمل: شکست بازار و سیاست عمومی.نشریه آب و توسعه پایدار، 3 (1): 114-103. 

-    Adapa, S & Bhullar, N & Souza, S.V. (2016). A systematic review and agenda for using alternative water sources for consumer markets in Australia. Journal of Cleaner Production, 124(15): 14–20.

-    Al-Ansari, N& Alibrahiem, N. &Alsaman, M & Knutsson, S. (2014). Water demand management in Jordan. Engineering, 6(1): 19-26.

-    Al- Weshah, R. A. (2001).  Optimal use of irrigation water in the Jordan valley: A case Study. Water Resources Management, 14(5):327–338.

-    Arfini, F & Donati, M & Paris, Q. (2003). A national PMP model for policy evaluation in agriculture using micro data and administrative information. Paper presented at the International Conference Agricultural Policy reform and the WTO: Where are we heading Capri (Italy), June 2003, 1-27.

-    Calatrava, J & Garrido, A. (2005). Modeling water markets under uncertain water supply, European Review of Agricultural Economics, 32(2):119-142.

-    Chakravorty, U & Hochman, E & Umestu .C & Zilberman, D. (2008). Water allocation under distribution losses: Comparing alternative institutions. Journal of Economic Dynamics and Control,  33(2):463–475.

-    Ejaz Qurashi, M & Ranjan, R. (2010). An Empirical Assessment of the Value of Irrigation Water: The Case of Murrumbidgee Catchment. Australian Journal of Agricultural and Resource Economics, 54(1): 99–118.

-    Ghahraman, B & Sepaskhah, A.R. (2004). Linear and non- linear models for allocation of a limited water supply. Irrigation and drainage, 53(1): 39–54.

-    Howitt, R.E. (1995). A Calibration Method for Agricultural Economic Production Models. Journal of Agricultural Economics, 46(2):147–159.

-    Howitt, R.E & Medeline, A & Macewan, D & Lund, J. R. (2012).  Calibrating disaggregate economic models of agricultural production and water management. Environmental Modelling & Software, 38: 244-258.

-    Liang, T.G. (2013). Trading and Economic Efficiency in Selected Victorian Water Markets in Australia. Thesis presented for the degree of Doctor of Philosophy, Murdoch University.

-    Medellín-Azuara, J & Harou, J & Howitt, R.E. (2010). Estimating economic value of agricultural water under changing conditions and the effects of spatial aggregation. Science of the Total Environment, 408(23):5639–5648.

-    Mora, N.H & Moral, L.D. (2015). Developing markets for water reallocation: Revisiting the experience of Spanish water Mercantilización. Geoforum, 62:143–155.

-    Paris, Q & Howitt, R.E. (1998). An Analysis of Ill-Posed Production Problems Using Maximum Entropy. American Journal of Agricultural Economics, 80(1):124-138.

-    Pujol, J & Raggi, M & Viaggi, D. (2006). The potential impact of markets for irrigation Water in Italy and Spain: a comparison of two study areas. The Australian Journal of Agricultural and Resource Economics, 5(3): 361-380.

-    Roham, O & Dabbert, S. (2003). Integrating Agri -Environmental Programs into Regional production Models: an Extension of Positive Mathematical Programming. American Journal of Agricultural Economics, 85(1): 254-265.

-    Weinberg, M & Kling, C .L & Wilen, J. E. (1993). Water markets and water quality. American Journal of Agriculture Economics, 75(2): 278-291.