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~:') times in the Little Colorado Subregion. The large increases are due primarily to an increase in the proportion of the total water used in those secto~s of the economy where value added per unit of water is relatively high. However, a part of the increase is attributable to projected technological advances. .... ~. .I!"'>. Since, as is generally recognized, value added to the economy re- lated to water directly and indirectly used varies greatly from sector to sector, transferring water from one use to another mayor may not have a benef.icial effect on the economy. The factors relating value added, and direct and indirect requirements for water, land, and labor to final demand, referred to above, can be used as illustrated in the appendix to analyze the effects of alternative uses of water. These factors also! can be used, as illustrated in the appendix, to analyze the effects of increasing or decreasing the amount of water available. The modified OBE-ERS projections indicated some significant changes in production compared with the OBE-ERS projections. Since the OBE-ERS regional projections were a part of a coordinated set of national-inter- regional projections which equated demand with supply, an investigation was made to the extent data were available, to determine the effect the changes would have on prices of the commodities involved. The analysis indicated the higher level of production of vegetables and citrus with the modified OBE-ERSprojections would depress prices somewhat through- out the projection time frame, the reduction in vegetable prices increas- ing to about 5 percent in 2000 and 2020, and the reduction in citrus prices increasing to about 4 percent in the year 2020. The reductions would be larger, of course, if other regions also exceed the baseline projections, 'as is the case in the California Region. The reduction in beef production and the increase in milk production are not expected to have much effect on prices of the commodities. Changes .in commodity prices indicated by alternative sets of pro- jections should be considered in development of asso.ciated framewo.rk plans. A sensitivity analysis indicates that with total crop production in the Region held constant at the OBE-ERS projected level, a 10 percent in- crease in projected yields causes approximately a 9 percent reduction in the acreage of cropland harvested in the Region, and reduces water re- quired in the'Region by roughly 450,000 acre feet, which amounts to about 7 percent of total water required in 1980 and 6 percent in 2020. A 10 percent decrease in projected crop yields causes approximately an 11 per- cent increase in irrigated cropland harvested, and increases total regional water requirements by approximately 550,000 acre feet, which comprises about 8.6 percent of total regional water requirements in 1980 and about 7 percent in 2020. The Gila Subregion accounts for about 75 percent of the change in water requirements in the Region. x