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Real and ideal water rights: the prospects for water-rights reform in Israel, Gaza, and the West Bank

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  • Berck, Peter
  • Lipow, Jonathan

Abstract

The ideal water contract for a heterogeneous population of users is a prioritized right that is fully vested and fully tradable. A set of tradable, prioritized rights contracts will span the same space as the Debreu contingent commodities. Therefore, they lead to a competitive equilibrium that is Pareto optimal. Equal sharing of water shortfalls does not have this property. Existing water policies in Israel and the Disputed Territories are not characterized by an efficient set of water contracts. The system misallocates water over both time and space. Current policies are driven by strategic and ideological objectives. With peace, reform of water policies will become politically feasible. The paper concludes with a proposal for a new water-allocation system.

Suggested Citation

  • Berck, Peter & Lipow, Jonathan, 1994. "Real and ideal water rights: the prospects for water-rights reform in Israel, Gaza, and the West Bank," CUDARE Working Papers 43743, University of California, Berkeley, Department of Agricultural and Resource Economics.
    • Handle: RePEc:ags:ucbecw:43743
    DOI: 10.22004/ag.econ.43743
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    References listed on IDEAS

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    1. Dinar, Ariel & Letey, J., 1991. "Agricultural water marketing, allocative efficiency, and drainage reduction," Journal of Environmental Economics and Management, Elsevier, vol. 20(3), pages 210-223, May.
    2. Burness, H Stuart & Quirk, James P, 1979. "Appropriative Water Rights and the Efficient Allocation of Resources," American Economic Review, American Economic Association, vol. 69(1), pages 25-37, March.
    3. Berck, Peter & Helfand, Gloria, 1990. "Mathematical Appendcies for: Reconciling the Von Liebig and Differentiable Crop Production Functions," CUDARE Working Papers 198468, University of California, Berkeley, Department of Agricultural and Resource Economics.
    4. Peter Berck & Gloria Helfand, 1990. "Reconciling the von Liebig and Differentiable Crop Production Functions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(4), pages 985-996.
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    Cited by:

    1. Eirik S. Amundsen & Frank Jensen, 2016. "Drought and Groundwater Management," IFRO Working Paper 2016/04, University of Copenhagen, Department of Food and Resource Economics.
    2. Enrique Ballestero, 2004. "Inter-Basin Water Transfer Public Agreements: A Decision Approach to Quantity and Price," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 18(1), pages 75-88, February.
    3. Terry Roe & Xinshen Diao, 2000. "Water, externality and strategic interdependence: a general equilibrium analysis," Journal of International Development, John Wiley & Sons, Ltd., vol. 12(2), pages 149-167.
    4. Alan Richards & Nirvikar Singh, 2004. "No Easy Exit: Property Rights, Markets, and Negotiations over Water," Development and Comp Systems 0412011, University Library of Munich, Germany.
    5. Roe, Terry L. & Diao, Xinshen, 1995. "The Strategic Interdependence of a Shared Water Aquifer: A General Equilibrium Analysis," Bulletins 7512, University of Minnesota, Economic Development Center.
    6. Amundsen, Eirik Schrøder & Jensen, Frank, 2016. "Drought and groundwater management," Working Papers in Economics 05/16, University of Bergen, Department of Economics.
    7. Changhai Qin & Shan Jiang & Yong Zhao & Yongnan Zhu & Qingming Wang & Lizhen Wang & Junlin Qu & Ming Wang, 2022. "Research on Water Rights Trading and Pricing Model between Agriculture and Energy Development in Ningxia, China," Sustainability, MDPI, vol. 14(23), pages 1-15, November.
    8. Francis Carlo Petterini, 2018. "The Likelihood Of A Water Market In Brazil," Anais do XLIV Encontro Nacional de Economia [Proceedings of the 44th Brazilian Economics Meeting] 190, ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics].
    9. Eirik S. Amundsen & Frank Jensen, 2016. "Drought and Groundwater Management," CESifo Working Paper Series 5968, CESifo.

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