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Economic discovery in federally supported irrigation districts: a tribute to William E. Martin and friends

Ex post evaluation of economic projections validates our shared understanding of economic methodology and methods. The recent economic history of Central Arizona Project (CAP) agriculture reveals the predictive power of economic reasoning and its policy impotence within a political environment inten...

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Bibliographic Details
Published in:Journal of agricultural and resource economics 1997-07, Vol.22 (1), p.61-77
Main Author: Wilson, P.N. (The University of Arizona.)
Format: Article
Language:English
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Summary:Ex post evaluation of economic projections validates our shared understanding of economic methodology and methods. The recent economic history of Central Arizona Project (CAP) agriculture reveals the predictive power of economic reasoning and its policy impotence within a political environment intent on obtaining its share of federally allocated water. The financial inability and unwillingness of large irrigation districts to pay for CAP water under existing federal rules produced an urban taxand rate-payer controlled CAP decades earlier than planned. Yet irrigation districts remain a large residual buyer of CAP water under new pricing and allocation rules. Unfortunately, water markets remain an underutilized and distrusted tool in the water development game.
ISSN:1068-5502
2327-8285
DOI:10.22004/ag.econ.31017