Water Resources Update

Universities Council on Water Resources

Issue No. 121: January 2002

Incentives and Trading in Water Resource Management

Table of Contents

Incentives and Trading in Water Resource Management by David Zilberman ................... 1

Trading Activity in an Informal Agricultural Water Market: An Example

From California by Nicholas Brozovic, Janis M. Carey, and David L. Sunding....................... 3

Individual and Institutional Responses to the Drought: The Case

of California Agriculture by David Zilberman........................................................................ 17

Water Markets and the Prior Appropriation Doctrine by Micha Gisser.............................. 24

Issues and Trends in Texas Water Marketing by Ronald C. Griffin and

Gregory W. Characklis............................................................................................................ 29

Water Conservation Technology: The Adoption Response to Incentives

by Daniel E. Osgood................................................................................................................ 34

Financing Wastewater Collection and Treatment on the U.S. –

Mexico Border by George B. Frisvold and Daniel E. Osgood............................................... 40

Uncertainty, Irreversibility, and Water Project Assessment by Jinhua Zhao ..................... 51

Policy Instruments for Ground Water Allocation in Dutch Agriculture

by Petra   Hellegers and Ekko van Ierland ............................................................................. 58

Farm-level Incentives for Irrigation Efficiency: Some Lessons from

an Indian Canal by Isha Ray .................................................................................................. 64

Regulating Natural Monopolies: The Case of Drinking Water in France

by Ephraim Clark and Gérard Mondello ............................................................................... 72

The Use of Advertising to Encourage Water Conservation:

Theory and Empirical Evidence by Amir Heiman.................................................................. 79