Research On Water Right Market Construction And Operation

The fundamental puzzle about limited water resources is how to efficiently and effectively use them. Practising water right and water right market theory is a way out of this puzzle under the condition of market economy. It can balance water supply and water demand, improve water use efficiency, increase water use benefit, and help enhance economic and social development.By doing research on water right theory, and water right trade practice home and abroad, the dissertation discusses the theory of construction and operation of water right market, and applies the discussed theory to the construction and operation of Tarim basin water right market.The construction of water right market consists of two aspects. The one is to make up the water right market's interior organizational structure, and the other, to construct its exterior circumstances. The former includes three parts. They are water right market subjects, water right trade agency, water right market supervisors. In China, local governments and water users, not water supply enterprises, are chosen as water right market subjects. Water bank is an agency for water right trade. The dissertation does some research on water bank's institution construction and its operation. The governments' roles and function in the construction and operation of water right market are discussed. Water right market's exterior circumstances include water culture,. water right market's laws and regulations system, public management, engineering and metered facilities, and scientific and technological means.On how to determine water right price, policy-based water pricing, cost accounting water right pricing, marginal cost water right pricing, and water right shadow pricing are discussed. Natural, technological, economic and social factors that influence water right price are analyzed.Water right market's dynamic operation includes water right subjects' game actions, regulations and adjustment made by water administration in the market, and solutions to the problems caused by water trade. Based on perfect Bayesian equilibrium, a water right market game model is created. The model discusses water right buyers and sellers' strategy spaces, sets forth three market equilibrium types, proposes ways to higher market efficiency. Specific economic policy instruments and the complementary means to adjust water right market's operations are expressed and discussed. Water trade often causes externalities and problem of efficiency and fairness. Solutions to these problems are given.Based on the theories related to water right market construction and its operation that are discussed in former chapters, the dissertation probes into the issue of constructing the Tarim basin water right market. The region of "Four Source Rivers and Mainstream of Tarim River" is chosen for the research of construction of the Tarim basin water right market. The principles of original water right allocation and its structure and levels in Tarim basin are established. Hence, Tarim Basin Four-level Water Right Market is set up. Subjects and supervisors at all levels are determined. Related measurements for the construction of Tarim basin water right market are researched on and its operation mechanism is expressed.