IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i6p5310-d1099529.html
   My bibliography  Save this article

Sustainability of Agriculture: A Study of Digital Groundwater Supervision

Author

Listed:
  • Jie Zhu

    (Institute of Market and Price Research, Academy of Macroeconomic Research, Beijing 100038, China)

  • Xiangyang Zhou

    (Agricultural Information Institute, Chinese Academy of Agricultural Sciences, Beijing 100081, China)

  • Jin Guo

    (Institute of Market and Price Research, Academy of Macroeconomic Research, Beijing 100038, China)

Abstract

Groundwater depletion caused by agricultural irrigation is a worldwide problem. Digital technology has the potential to mitigate the groundwater over-exploitation problem by precisely restricting agriculture groundwater withdrawal and borewell construction. This study estimates how farmers respond to a pilot on digital groundwater supervision, which was implemented by the county government to limit the number and clarify property rights of irrigation borewells. By utilizing this recent pilot in rural China, we assess the causal impact of the digital groundwater supervision pilot on farmers’ water-saving irrigation (WSI) behaviors and investigate the heterogeneity effects and mechanisms related to the policy contents. A difference-in-differences (DID) strategy is applied to address the treatment effect of the digital groundwater supervision pilot. The results, which were based on a unique plot-crop-level panel dataset, indicate that farmers reduced water use after the pilot implementation, with most of the responses created through introducing water-saving technology and reducing water use intensity rather than through reducing irrigated acreage. In addition, village supervision, information, and cooperative incentives positively encourage farmers to adopt WSI technologies.

Suggested Citation

  • Jie Zhu & Xiangyang Zhou & Jin Guo, 2023. "Sustainability of Agriculture: A Study of Digital Groundwater Supervision," Sustainability, MDPI, vol. 15(6), pages 1-15, March.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:6:p:5310-:d:1099529
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/6/5310/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/6/5310/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ifft, Jennifer & Bigelow, Daniel P. & Savage, Jeffrey, 2018. "The Impact of Irrigation Restrictions on Cropland Values in Nebraska," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 43(2), May.
    2. Kyle Emerick & Alain de Janvry & Elisabeth Sadoulet & Manzoor H. Dar, 2016. "Technological Innovations, Downside Risk, and the Modernization of Agriculture," American Economic Review, American Economic Association, vol. 106(6), pages 1537-1561, June.
    3. Andrew D. Foster & Mark R. Rosenzweig, 2010. "Microeconomics of Technology Adoption," Annual Review of Economics, Annual Reviews, vol. 2(1), pages 395-424, September.
    4. Margarita Genius & Phoebe Koundouri & Céline Nauges & Vangelis Tzouvelekas, 2014. "Information Transmission in Irrigation Technology Adoption and Diffusion: Social Learning, Extension Services, and Spatial Effects," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(1), pages 328-344.
    5. Farrow, Katherine & Grolleau, Gilles & Ibanez, Lisette, 2017. "Social Norms and Pro-environmental Behavior: A Review of the Evidence," Ecological Economics, Elsevier, vol. 140(C), pages 1-13.
    6. Joseph C. Cooper & Russ W. Keim, 1996. "Incentive Payments to Encourage Farmer Adoption of Water Quality Protection Practices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 54-64.
    7. Raphael Calel & Antoine Dechezleprêtre, 2016. "Environmental Policy and Directed Technological Change: Evidence from the European Carbon Market," The Review of Economics and Statistics, MIT Press, vol. 98(1), pages 173-191, March.
    8. Siwa Msangi & Sarah Ann Cline, 2016. "Improving Groundwater Management for Indian Agriculture: Assessing Tradeoffs Across Policy Instruments," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 2(03), pages 1-33, September.
    9. Eliana La Ferrara & Alberto Chong & Suzanne Duryea, 2012. "Soap Operas and Fertility: Evidence from Brazil," American Economic Journal: Applied Economics, American Economic Association, vol. 4(4), pages 1-31, October.
    10. Drysdale, Krystal M. & Hendricks, Nathan P., 2018. "Adaptation to an irrigation water restriction imposed through local governance," Journal of Environmental Economics and Management, Elsevier, vol. 91(C), pages 150-165.
    11. Wided Mattoussi & Paul Seabright, 2014. "Cooperation against Theft: A Test of Incentives for Water Management in Tunisia," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(1), pages 124-153.
    12. Abhishek Lal & Elizabeth Israel, 2006. "An overview of microfinance and the environmental sustainability of smallholder agriculture," International Journal of Agricultural Resources, Governance and Ecology, Inderscience Enterprises Ltd, vol. 5(4), pages 356-376.
    13. Man Li & Wenchao Xu & Tingju Zhu, 2019. "Agricultural Water Allocation under Uncertainty: Redistribution of Water Shortage Risk," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 101(1), pages 134-153.
    14. Farzad Emami & Manfred Koch, 2018. "Agricultural Water Productivity-Based Hydro-Economic Modeling for Optimal Crop Pattern and Water Resources Planning in the Zarrine River Basin, Iran, in the Wake of Climate Change," Sustainability, MDPI, vol. 10(11), pages 1-32, October.
    15. Jaffe, Adam B. & Newell, Richard G. & Stavins, Robert N., 2005. "A tale of two market failures: Technology and environmental policy," Ecological Economics, Elsevier, vol. 54(2-3), pages 164-174, August.
    16. Omotilewa, Oluwatoba J. & Ricker-Gilbert, Jacob & Ainembabazi, John Herbert & Shively, Gerald E., 2018. "Does improved storage technology promote modern input use and food security? Evidence from a randomized trial in Uganda," Journal of Development Economics, Elsevier, vol. 135(C), pages 176-198.
    17. Yi Guo & Fuping Gan & Baikun Yan & Juan Bai & Feng Wang & Ruirui Jiang & Naichen Xing & Qi Liu, 2022. "Evaluation of Groundwater Storage Depletion Using GRACE / GRACE Follow-On Data with Land Surface Models and Its Driving Factors in Haihe River Basin, China," Sustainability, MDPI, vol. 14(3), pages 1-21, January.
    18. Monobina Mukherjee & Kurt Schwabe, 2015. "Irrigated Agricultural Adaptation to Water and Climate Variability: The Economic Value of a Water Portfolio," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(3), pages 809-832.
    19. Perino, Grischa & Requate, Till, 2012. "Does more stringent environmental regulation induce or reduce technology adoption? When the rate of technology adoption is inverted U-shaped," Journal of Environmental Economics and Management, Elsevier, vol. 64(3), pages 456-467.
    20. Gilbert E. Mushi & Giovanna Di Marzo Serugendo & Pierre-Yves Burgi, 2022. "Digital Technology and Services for Sustainable Agriculture in Tanzania: A Literature Review," Sustainability, MDPI, vol. 14(4), pages 1-17, February.
    21. Gi-Eu Lee & Kimberly Rollins & Loretta Singletary, 2020. "The Relationship between Priority and Value of Irrigation Water Used with Prior Appropriation Water Rights," Land Economics, University of Wisconsin Press, vol. 96(3), pages 384-398.
    22. Rebecca Taylor & David Zilberman, 2017. "Diffusion of Drip Irrigation: The Case of California," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 39(1), pages 16-40.
    23. J. S. Famiglietti, 2014. "The global groundwater crisis," Nature Climate Change, Nature, vol. 4(11), pages 945-948, November.
    24. Blanke, Amelia & Rozelle, Scott & Lohmar, Bryan & Wang, Jinxia & Huang, Jikun, 2007. "Water saving technology and saving water in China," Agricultural Water Management, Elsevier, vol. 87(2), pages 139-150, January.
    25. Ayalew, Hailemariam & Chamberlin, Jordan & Newman, Carol, 2022. "Site-specific agronomic information and technology adoption: A field experiment from Ethiopia," Journal of Development Economics, Elsevier, vol. 156(C).
    26. Kyle Emerick & Manzoor H. Dar, 2021. "Farmer Field Days and Demonstrator Selection for Increasing Technology Adoption," The Review of Economics and Statistics, MIT Press, vol. 103(4), pages 680-693, October.
    27. Qinglan Liu & Longjian Yang & Miying Yang, 2021. "Digitalisation for Water Sustainability: Barriers to Implementing Circular Economy in Smart Water Management," Sustainability, MDPI, vol. 13(21), pages 1-28, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cui, Yi & Du, Xiaodong & Ma, Jiujie, 2020. "Agricultural Water right reforms and Irrigation Water Demand: A Quasi-Natural Experiment in China," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304364, Agricultural and Applied Economics Association.
    2. Dietrich Earnhart & Nathan P. Hendricks, 2023. "Adapting to water restrictions: Intensive versus extensive adaptation over time differentiated by water right seniority," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(5), pages 1458-1490, October.
    3. Kazushi Takahashi & Rie Muraoka & Keijiro Otsuka, 2020. "Technology adoption, impact, and extension in developing countries’ agriculture: A review of the recent literature," Agricultural Economics, International Association of Agricultural Economists, vol. 51(1), pages 31-45, January.
    4. Aker, Jenny C. & Dillon, Brian & Welch, C. Jamilah, 2023. "Demand, supply and long-term adoption: Evidence from a storage technology in West Africa," Journal of Development Economics, Elsevier, vol. 165(C).
    5. Michael Bernardi & Christa Hainz & Paulina Maier & Maria Waldinger, 2023. "A “Green Revolution” for Sub-Saharan Africa? Challenges and Opportunities," EconPol Policy Brief 54, ifo Institute - Leibniz Institute for Economic Research at the University of Munich.
    6. Schwab, Benjamin & Yu, Jisang, 2022. "Guaranteed Storage? Risk and Credit Constraints in the Demand for Postharvest Technology and Rice Seed Storage Decisions in Bangladesh," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322475, Agricultural and Applied Economics Association.
    7. Michael Bernardi & Christa Hainz & Paulina Maier & Maria Waldinger, 2023. "Eine „Grüne Revolution“ in Subsahara-Afrika? Herausforderungen und Chancen," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 76(05), pages 29-33, May.
    8. Yitayew, Asresu & Abdulai, Awudu & Yigezu, Yigezu A. & Deneke, Tilaye T. & Kassie, Girma T., 2021. "Impact of agricultural extension services on the adoption of improved wheat variety in Ethiopia: A cluster randomized controlled trial," World Development, Elsevier, vol. 146(C).
    9. Bahinipati, Chandra Sekhar & Viswanathan, P.K., 2019. "Incentivizing resource efficient technologies in India: Evidence from diffusion of micro-irrigation in the dark zone regions of Gujarat," Land Use Policy, Elsevier, vol. 86(C), pages 253-260.
    10. Pronti, Andrea & Auci, Sabrina & Berbel, Julio, 2024. "Water conservation and saving technologies for irrigation. A structured literature review of econometric studies on the determinants of adoption," Agricultural Water Management, Elsevier, vol. 299(C).
    11. Chong Dong & Hainan Wang & Wenjin Long & Jiujie Ma & Yi Cui, 2023. "Can Agricultural Cooperatives Promote Chinese Farmers’ Adoption of Green Technologies?," IJERPH, MDPI, vol. 20(5), pages 1-17, February.
    12. Mao, Hui & Chai, Yujia & Shao, Xiaoxuan & Chang, Xue, 2024. "Digital extension and farmers' adoption of climate adaptation technology: An empirical analysis of China," Land Use Policy, Elsevier, vol. 143(C).
    13. Hille, Erik & Althammer, Wilhelm & Diederich, Henning, 2020. "Environmental regulation and innovation in renewable energy technologies: Does the policy instrument matter?," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    14. Yu-Hong Ai & Di-Yun Peng & Huan-Huan Xiong, 2021. "Impact of Environmental Regulation Intensity on Green Technology Innovation: From the Perspective of Political and Business Connections," Sustainability, MDPI, vol. 13(9), pages 1-23, April.
    15. Chen, Shuo & Lan, Xiaohuan, 2020. "Tractor vs. animal: Rural reforms and technology adoption in China," Journal of Development Economics, Elsevier, vol. 147(C).
    16. Suyu Huang & Hanlian Lin & Yongjunbei Zhou & Haonan Ji & Naiping Zhu, 2022. "The Influence of the Policy of Replacing Environmental Protection Fees with Taxes on Enterprise Green Innovation—Evidence from China’s Heavily Polluting Industries," Sustainability, MDPI, vol. 14(11), pages 1-23, June.
    17. Leight, Jessica & Awonon, Josué & Pedehombga, Abdoulaye & Ganaba, Rasmané & Gelli, Aulo, 2022. "How light is too light touch: The effect of a short training-based intervention on household poultry production in Burkina Faso," Journal of Development Economics, Elsevier, vol. 155(C).
    18. Alejandra Engler & Roberto Jara-Rojas & Carlos Bopp, 2016. "Efficient use of Water Resources in Vineyards: A Recursive joint Estimation for the Adoption of Irrigation Technology and Scheduling," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 30(14), pages 5369-5383, November.
    19. Linda Steinhübel & Johannes Wegmann & Oliver Mußhoff, 2020. "Digging deep and running dry—the adoption of borewell technology in the face of climate change and urbanization," Agricultural Economics, International Association of Agricultural Economists, vol. 51(5), pages 685-706, September.
    20. Martin Larsson, 2017. "EU Emissions Trading: Policy-Induced Innovation, or Business as Usual? Findings from Company Case Studies in the Republic of Croatia," Working Papers 1705, The Institute of Economics, Zagreb.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:6:p:5310-:d:1099529. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.