When Water Saving Limits Recycling: Modeling Economy-wide Linkages of Wastewater Use

Jonas Luckmann, Harald Grethe and Scott McDonald

No 212161, 2015 Conference, August 9-14, 2015, Milan, Italy from International Association of Agricultural Economists

Abstract: Due to water scarcity problems, the reclamation of wastewater becomes a more and more important water source in many parts of the world. The use of reclaimed wastewater is often fostered, as a cheap and reliable form of water supply, which preserves water resources and at the same time allows to economically making use of sewage. This study presents a novel approach to integrate wastewater recycling in a Computable General Equilibrium model and to link the quantity of reclaimed wastewater produced to the water consumption of economic entities connected to a sewer system, such that a cascading water use can be modeled in a meaningful way. An application to the case of Israel shows that not considering this linkage can lead to an overestimation of compensation effects from wastewater recycling in case economic entities engage in water saving.

Keywords: Agricultural and Food Policy; Environmental Economics and Policy (search for similar items in EconPapers)
Pages: 24
Date: 2015
New Economics Papers: this item is included in nep-cmp
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Persistent link: https://EconPapers.repec.org/RePEc:ags:iaae15:212161

DOI: 10.22004/ag.econ.212161

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