A Water-Embedded CGE Approach to Economic and Welfare Effects of Agricultural Water Transfer
Publication: Journal of Irrigation and Drainage Engineering
Volume 150, Issue 5
Abstract
Interbasin water transfer projects which are considered as a solution to the water crisis have different economic and environmental implications for regions. This study investigated the economic and welfare effects of agriculture water transfer to Qazvin Province in Iran using a water-embedded computable general equilibrium (CGE) model. The model was calibrated and solved numerically using a water-embededd social accounting matrix (WSAM). A scenario transferring of water was simulated. The results indicate that this policy had a positive effect on the region’s welfare and increased the gross production of the agricultural sector by 14.4%, which led to an increase in the production inputs and added value of the agricultural sector. With the increase in gross production, the exports of the agricultural sector increased and the need for imports decreased. With the change of variables in the agricultural sector, other economic sectors were affected directly and indirectly. The economic variables of Qazvin province—gross domestic product (GDP), capital formation, exports of agricultural products, industries, and service efficiency—had a positive response to the policy.
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Data Availability Statement
All data that support the findings of this study are available from the corresponding author upon reasonable request.
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Journal of Irrigation and Drainage Engineering
Volume 150 • Issue 5 • October 2024
Copyright
© 2024 American Society of Civil Engineers.
History
Received: Jun 13, 2023
Accepted: Mar 28, 2024
Published online: Jul 18, 2024
Published in print: Oct 1, 2024
Discussion open until: Dec 18, 2024
ASCE Technical Topics:
- Agriculture
- Business management
- Computer models
- Economic factors
- Engineering fundamentals
- Engineering mechanics
- Equilibrium
- Irrigation engineering
- Irrigation water
- Models (by type)
- Practice and Profession
- Statics (mechanics)
- Water (by type)
- Water and water resources
- Water management
- Water shortage
- Water supply
- Water use
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