Farmer Behavior Under Groundwater Management Scenarios: Implications for Groundwater Conservation in the Mississippi Alluvial Plain
| Autor: | Mustapha Alhassan, Collin B. Lawrence, Emily J. Pindilli |
|---|---|
| Rok vydání: | 2020 |
| Předmět: |
Price elasticity of demand
Economics and Econometrics 010504 meteorology & atmospheric sciences business.industry 0208 environmental biotechnology Groundwater management 02 engineering and technology Management Monitoring Policy and Law 01 natural sciences 020801 environmental engineering Economies of scale Alluvial plain Agriculture Environmental science Business and International Management business Water resource management Groundwater 0105 earth and related environmental sciences Water Science and Technology |
| Zdroj: | Water Economics and Policy. :2050009 |
| ISSN: | 2382-6258 2382-624X |
| DOI: | 10.1142/s2382624x20500095 |
| Popis: | Concern about sustained availability of fresh groundwater for agricultural use in the Mississippi Alluvial Plain (MAP) mounts as groundwater levels decline. We evaluate the elasticities of demand for groundwater and other agricultural inputs, as well as the overall and output-specific economies of scale for four major irrigated commodities (rice, corn, soybeans, and cotton) in the MAP region. Additionally, we investigate the impacts of two groundwater management policy scenarios, including increasing pumping cost and groundwater use restrictions, on irrigation behavior. The results show price elasticity of demand for groundwater to be [Formula: see text], indicating that it is inelastic, and an increased cost of pumping will not significantly decrease the relative demand for groundwater in the region. Even with policy scenarios that either increase the costs of pumping significantly or restrict groundwater use in the region, groundwater demand still appears to be inelastic. We also document significant overall economies of scale in the region. Our findings have implications for potential policy options aimed at reducing groundwater use. Efficient management practices are important to increase aquifer recharge, and considering human behavior via economic analysis will improve projections of groundwater availability in the MAP region. |
| Databáze: | OpenAIRE |
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