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American Economic Journal: Applied Economics: Vol. 3 No. 4 (October 2011)

AEJ: Applied Volume. 3, Issue 4 | leftPrevious ArticleNext Articleright

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Public Provision and Protection of Natural Resources: Groundwater Irrigation in Rural India

Article Citation

Sekhri, Sheetal. 2011. "Public Provision and Protection of Natural Resources: Groundwater Irrigation in Rural India." American Economic Journal: Applied Economics, 3(4): 29-55.

DOI: 10.1257/app.3.4.29

Abstract

This paper evaluates the effects of a public groundwater provision program on water tables in Northern India. I theorize that public provision leads to sustainable use of groundwater when the fixed costs for private well provision are high. I use village-level longitudinal data on aquifers and wells, and exploit the physical and technological limitations of surface pumps that generate a cost difference at a specific water depth to test this model. My findings suggest that public provision can be used as an alternative in scenarios where prohibitive monitoring costs might preclude the use of other regulatory approaches to prevent over-extraction. (JEL O13, O18, Q15, Q25, Q28, Q53, Q58)

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Authors

Sekhri, Sheetal (U VA)

JEL Classifications

O13: Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products
O18: Economic Development: Regional, Urban, and Rural Analyses; Transportation
Q15: Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
Q25: Renewable Resources and Conservation: Water
Q28: Renewable Resources and Conservation: Government Policy
Q53: Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
Q58: Environmental Economics: Government Policy

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