Implications of Water Scarcity for Economic Growth

  • Tom Hertel
  • Jing LiuEmail author
Part of the Advances in Applied General Equilibrium Modeling book series (AAGEM)


This chapter provides background information useful for a quantitative global assessment of the impact of water scarcity on growth using a Computable General Equilibrium (CGE) model. It provides a detailed review of the literature on water, water scarcity, sectoral activity and economic growth, and identifies the possibilities and bottlenecks in incorporating water use into a CGE framework. It covers water use in agriculture, energy production, households, industry and services. Finally, it discusses water supply and allocation. There are ample opportunities for conserving water across its various uses. Economic incentives would hasten water efficiency gains.


Water use Water scarcity Economic growth CGE modeling 


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Copyright information

© Springer Nature Singapore Pte Ltd. 2019

Authors and Affiliations

  1. 1.Department of Agricultural EconomicsPurdue UniversityWest LafayetteUSA

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