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Water policy and poverty reduction in rural area: a comparative economywide analysis for Morocco and Tunisia

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  • Thabet, Chokri
  • Chebil, Ali
  • Frija, Aymen

Abstract

The main objective of this study is to compare the impacts of alternative water policy management scenarios on Tunisia and Morocco. A dynamic water CGE-model has been implemented and used to explore the likely effects of water economic instruments. Results show that the low cost of water has encouraged farmers to adopt more water-intensive activities. Reducing public subsidies on water will affect directly farm income which is expected to drop by about 20 per cent in the short and medium terms. However, the reduction of farmers’ incomes will be largely compensated by the saving in public expenditures but also in a better and more efficient use of water resources.

Suggested Citation

  • Thabet, Chokri & Chebil, Ali & Frija, Aymen, 2014. "Water policy and poverty reduction in rural area: a comparative economywide analysis for Morocco and Tunisia," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 183088, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae14:183088
    DOI: 10.22004/ag.econ.183088
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    Keywords

    Food Security and Poverty; Public Economics;

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