_moneytalks IVHow the Market Can Mitigate Water Shortages in the American West
-- a _kt75 | reprint _NEW: explore all _kt75 | publications via the news db... and leave your comments here The American West has a long tradition of conflict over water . But after fifteen years of drought across the region, it is no longer simply conflict: it is crisis. In the face of unprecedented declines in reservoir storage and groundwater reserves throughout the West, we focus in this discussion paper on a set of policies that could contribute to a lasting solution: using market forces to facilitate the movement of water resources and to mitigate the risk of water shortages. We begin by reviewing key dimensions of this problem: the challenges of population and economic growth, the environmental stresses from overuse of common water resources, the risk of increasing water-supply volatility, and the historical disjunction that has developed between and among rural and urban water users regarding the amount we cons...