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Books > Earth & environment > The environment > Environmental economics
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The Role of Government in Water Markets (Paperback)
Loot Price: R1,293
Discovery Miles 12 930
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The Role of Government in Water Markets (Paperback)
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While water is an increasingly scarce resource, most existing
methods to allocate it are neither economically nor environmentally
efficient. In these circumstances, water markets offer developed
countries a form of regulatory response capable of overcoming many
of the shortcomings of current water management. The debate on
water markets is, however, a polarized one. This is mostly a result
of the misunderstanding of the roles played by governments in water
markets. Proponents mistakenly portrayed them as leaving
governments, for the most part, out of the picture. Opponents, in
turn, understand commodification of water and administration by
public agencies as incompatible. Casado Perez argues that both
sides of the debate overlook that water markets require a deeper
and more varied governmental intervention than markets for other
goods. Drawing on economic theories of regulation based on market
failure, she explains the different roles governments should play
to ensure a well-functioning water market, and concludes that only
the visible hand of governments can ensure the success of water
markets. Casado Perez proves her case by examining case studies of
California and Spain to assess the success of their water markets.
She explores why water markets were more extensively
institutionalized in California than in Spain in the first ten
years since their introduction and how the role of governments in
each case study impacted water market operation. This unique
analysis of governmental roles in water markets, alongside
qualitative studies of California and Spain, offers valuable
guidance to understand environmental markets and to face the
challenges presented by water management in regions with periodical
droughts.
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