Laserfiche WebLink
<br />~ri;'5~g <br /> <br />7 <br /> <br />:i.j <br />" <br /> <br />(e.g. the basic prior appropriation doctrine). At a later stage, <br />procedures for exchange of water rights within and between economic <br />sectors are called for. <br /> <br />Table 1-1 shows a generalization of the above propositions.: <br />Drawing on the work of Rostow and his framework of stages of economic <br />growth, together with Boulding's and Ruttan's concepts of induced <br />institutional and technological innovation, a five-stage model of the' <br />optimal evolution of a water allocation system is presented (2,3,4). <br />The first portion of the Figure identifies objective characteris-, <br />tics Of the water economy through the various stages. The growth <br />process in the regional economy is seen to increase the complexity of. <br />water demand. (Higher valued crops come in to compete for water, later <br />abetted by growth in non-agricultural sectors). The economic value of <br />water rises in concert with these changes. <br />Ultimately, growth and change lead to .an increased return to <br />expenditures for new technologies of water supply and del ivery and to <br />new institutional arrangements. The five steps in Figure 1-1 identify <br />hypothesized di screte steps occurring as water becomes more scarce and <br />valuable. With each higher numbered stage, the technological-institu- <br />tional system becomes more complex. In later stages water pollution, <br />and other unpriced environmental costs become evident. <br /> <br />. <br />The col umns on the second half of the' Figure represent various <br />hypothesized insti tutional reactions to the changes identifi ed in the <br />left columns. Evolution of water allocation institutions proceed from <br />"open access" (no effective regulation) to a fully articulated water <br />rights, system. Similarly, hypothesiZed progression through stages of <br />pricing and environmental regulations .are shown. <br /> <br />. ~ <br /> <br />~ ; <br /> <br />.L <br /> <br />. _ ~_ ",.iL, ,i_~, 1i"" "i~" ,:".~l <br /> <br />-' ~ " <br />