Work

Natural Resource Management Under Increasing Scarcity and Competition: The Case of Groundwater

Year: 2025

Type: article

Abstract: This study examines natural resource management under competing heterogeneous users, climate-induced stress, and usage restrictions. We focus on groundwater, an essential resource for water-dependent activities increasingly threatened by climate change. We introduce a declining recharge in a dynamic game to represent increasing water scarcity, along with a restriction policy that limits non-priority use to prevent overexploitation. The results show that targeted restrictions can improve long-term resource levels and total welfare compared to unregulated and abundant scenarios. However, these benefits come at the expense of the non-priority sector, revealing a trade-off between sustainability and equity.

Source: The B E Journal of Economic Analysis & Policy

DOI: 10.1515/bejeap-2025-0300

Authors: Julia de Frutos Cachorro, Carles Mañó-Cabello, Jesús Marín-Solano

Institutions: Universitat de Barcelona, KU Leuven

Language: English

Topic: Water resources management and optimization

Subfield: Ocean Engineering

Field: Engineering

Domain: Physical Sciences

SDG: Clean water and sanitation

Open Access status: hybrid

Estimated APC paid: $2,712