Short and Long term Effects of Water Markets

Rim Lahmandi-Ayed and Mohamed Matoussi
Additional contact information
Mohamed Matoussi: Université de Tunis

Working Papers from HAL

Abstract: We aim at checking from a theoretical viewpoint the claims made about water markets in the literature. We prove that water markets improve farmers' profits and production efficiency but do not necessarily improve total production and do not always encourage private investments. Taking into account the transaction cost of water markets and the social cost due to the inactivity of some farmers that may result from water markets, we prove that water markets do not always improve total surplus. JEL Classification: Q25, C72, O33.

Keywords: Water markets; Water scarcity; Production efficiency; Total production; Private investment; Social costs; Transaction costs (search for similar items in EconPapers)
Date: 2018-08-28
New Economics Papers: this item is included in nep-agr and nep-gth
Note: View the original document on HAL open archive server: https://hal.science/hal-01863372
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://hal.science/hal-01863372/document (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:wpaper:hal-01863372

Access Statistics for this paper

More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().