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The Effect of Sequencing Trade and Water Market Reform on Interest Groups in Irrigated Agriculture: An Intertemporal Economy-Wide Analysis of the Moroccan Case AgEcon
Diao, Xinshen; Roe, Terry L..
Many of the import competing sectors in Moroccan agriculture are protected while water in irrigated agriculture is priced below its marginal value product. Establishing a water market in this pre-trade reform environment can be welfare decreasing. Further, as the shadow price of water is sensitive to the crops protected by trade policy, farmers growing crops protected pre-trade reform can be made worse off post reform. The resulting decline in rents to sector resources is a source of interest group conflict that can slow the overall reform process. Using an intertemporal general equilibrium model, the paper analyzes the economy-wide effects of the linkages between trade reform and the reform of water markets in irrigated agriculture. We find a strong...
Tipo: Working or Discussion Paper Palavras-chave: Water Markets; Trade Reform. Dynamic General Equilibrium; O41; International Relations/Trade; Resource /Energy Economics and Policy; F13; Q15; Q25.
Ano: 1998 URL: http://purl.umn.edu/7519
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