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Optimal Spatial-Dynamic Management of Groundwater Conservation and Surface Water Quality with On-Farm Reservoirs

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  • Kovacs, Kent
  • Wailes, Eric
  • West, Grant
  • Popp, Jennie
  • Bektemirov, Kuatbay
Abstract
We examine how much on-farm reservoirs can increase groundwater quantity and improve surface water quality using a spatial-dynamic model of farm profit maximization in the Arkansas Delta. Sensitivity analysis of the farm profit objective by including the value of surface water quality and the groundwater buffer value evaluates how accounting for environmental value affects the optimal crop mix, water use, and farm profits. The best policy for a critical water resource area is to have the government cost share construction of on-farm reservoirs because groundwater conservation and surface water quality goals are achieved efficiently for a modest redistribution of income.

Suggested Citation

  • Kovacs, Kent & Wailes, Eric & West, Grant & Popp, Jennie & Bektemirov, Kuatbay, 2014. "Optimal Spatial-Dynamic Management of Groundwater Conservation and Surface Water Quality with On-Farm Reservoirs," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 46(4), pages 409-437, November.
    • Handle: RePEc:cup:jagaec:v:46:y:2014:i:04:p:409-437_02
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    References listed on IDEAS

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    Cited by:

    1. Kovacs, Kent & Popp, Michael & Xu, Ying & West, Grant, 2016. "Tradeoffs among multiple ecosystem services and economic returns from groundwater depletion on a farm landscape," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235357, Agricultural and Applied Economics Association.
    2. Tran, Dat Q. & Kovacs, Kent & Wallander, Steven, 2020. "Optimal groundwater augmentation through managed aquifer recharge and on-farm reservoir under uncertainty and risk," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304295, Agricultural and Applied Economics Association.
    3. repec:ags:aaea22:335432 is not listed on IDEAS
    4. Kent Kovacs & Grant West, 2016. "The Influence of Groundwater Depletion from Irrigated Agriculture on the Tradeoffs between Ecosystem Services and Economic Returns," PLOS ONE, Public Library of Science, vol. 11(12), pages 1-22, December.

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