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2017 | OriginalPaper | Chapter

1. Water Allocation: The Joint Problem of Interaction and Transaction Cost

Authors : John F. Raffensperger, Mark W. Milke

Published in: Smart Markets for Water Resources

Publisher: Springer International Publishing

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Abstract

This chapter reveals the problem of water allocation as a joint problem of hydrological interaction and externalities. The chapter describes the reason to use markets to allocate water. The chapter explains why most current methods of water allocation have a high transaction cost, and summarizes the problems that need to be solved to improve water allocation.

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next chapter Water Markets: Theory and Practice
Literature
Garrick, D., & Aylward, B. (2012). Transaction costs and institutional performance in market-based environmental water allocation. Land Economics, 88(3), 535–560.CrossRef
Garrick, D., Whitten, S. M., & Coggan, A. (2013). Understanding the evolution and performance of water markets and allocation policy: A transaction costs analysis framework. Ecological Economics, 88, 195–205.CrossRef
Hardin, G. (1972). Exploring new ethics for survival. New York: Viking Press.
Lund, J. R. (1993). Transaction risk versus transaction costs in water transfers. Water Resources Research, 29(9), 3103–3107.
Ostrom, E. (2009). Social-ecological systems: A general framework for analyzing sustainability of social-ecological systems. Science, 325, 41–49.CrossRef
Metadata
Title
Water Allocation: The Joint Problem of Interaction and Transaction Cost
Authors
John F. Raffensperger
Mark W. Milke
Copyright Year
2017
Book
Smart Markets for Water Resources

Print ISBN: 978-3-319-55007-7

Electronic ISBN: 978-3-319-55008-4

Copyright Year: 2017

DOI
https://doi.org/10.1007/978-3-319-55008-4_1