EconPapers    
Economics at your fingertips  
 

A Tale of Two Countries: Markets and Transboundary Water Governance Between the United States and Mexico

Christos Makridis

International Journal of Public Administration, 2013, vol. 36, issue 9, 622-637

Abstract: While there is a robust literature about using tradeable permits as a solution to pollution externalities, less work has applied these principles to the area of transboundary water management. This article proposes the use of transboundary water banking as a means for addressing issues of water externalities, conflict over water resources, and incentive compatibility. First, the article provides clarity to this discussion by synthesizing relevant literature over transboundary water governance, focusing on the experience between the United States and Mexico over the Colorado River. Second, the article formalizes the idea of a transboundary water bank and the efficiency of an auctioned versus grandfathered permit program. Third, the article provides a brief formulation of the market design elements of such a scheme, namely four conditions that enable a sort of Nash Equilibrium among agents. The article concludes by alluding to the parallels between energy and water markets. While only a start, this article seeks to catalyze more formal mathematical modeling of solutions to transboundary water governance.

Date: 2013
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/01900692.2013.777927 (text/html)
Access to full text is restricted to subscribers.

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:taf:lpadxx:v:36:y:2013:i:9:p:622-637

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/lpad20

DOI: 10.1080/01900692.2013.777927

Access Statistics for this article

International Journal of Public Administration is currently edited by Ali Farazmand

More articles in International Journal of Public Administration from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2025-03-20
Handle: RePEc:taf:lpadxx:v:36:y:2013:i:9:p:622-637