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Achieving sustainable soil and water protection: The perspective of agricultural water price regulation on environmental protection

Lichen Chou, Jie Dai, Xiaoyan Qian, Aliakbar Karimipour and Xuping Zheng

Agricultural Water Management, 2021, vol. 245, issue C

Abstract: With the development of Chinese economy, more and more attention has been paid to environmental protection, the implementation of water price policy affects economic and environmental changes in China. This paper analyzes the impact of water price policy on agricultural land use and the scale of water pollution discharge in 240 cities in China between 2001 and 2017, by including data from China Urban Statistical Yearbook and China Land & Resources Almanac. The theoretical analysis of this study indicates that the optimal scale of pollution depends on the local initial endowment, economic investment capital and the marginal cost of environmental pollution caused by government's economic activities. Furtherly, the economic activities have a worsening impact on environmental pollution, but when the government implements environmental protection and water price policy measures in response to environmental pollution caused by economic activities, it has a significant impact on the decline in the scale of pollution. The government has promoted the pollution suppression model in the formulation of water prices, which has internalized the external cost of pollution in economic activities and can effectively reduce the scale of agricultural water pollution discharge.

Keywords: Agricultural water conversation; Land use; Water pollution; Water price policy (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:agiwat:v:245:y:2021:i:c:s0378377420321302

DOI: 10.1016/j.agwat.2020.106583

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