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A severe sustained drought in the Colorado River Basin would cause economic damages throughout the Basin. An integrated hydrologic-economic-institutional model introduced here shows that consumptive water users in headwaters states are particularly vulnerable to very large shortfalls and hence large damages because their rights are effectively junior to downstream users. Chronic shortfalls to consumptive users relying on diversions in excess of rights under the Colorado River Compact are also possible. Nonconsumptive water uses (for hydropower and recreation) are severely affected during the worst drought years as instream flows are reduced and reservoirs are depleted. Damages to these uses exceeds those to consumptive...
Researchers representing each of the Colorado River Basin states as well as the Secretary of the Interior were presented with an interactive computer simulation of a progressively increasing drought and were given the collective opportunity to change the ways in which basin-wide and within-state water management were conducted. The purpose of this ?gaming? exercise was to identify rules for managing the Colorado River which are effective in preventing drought-caused damages to basin water users. This water management game was conducted three times, varying the collective choice roles for management of the river yet staying substantially within the current institution for management of the Colorado River known as...
This article explores the institutional architecture in place to govern energy in the US and its underlying principles. More specifically, it identifies the key institutions involved with energy decision-making, with an emphasis on the national level and key legislative acts of the past four decades. The second section explores six historic guiding principles connected with national energy production and use, and the third section identifies how each of these conditions is eroding. The fourth section highlights the general implications of this shift for energy governance, namely that energy decision-making is now complex, inconsistent, vertically and horizontally fragmented and politicized.
This article explores the institutional architecture in place to govern energy in the US and its underlying principles. More specifically, it identifies the key institutions involved with energy decision-making, with an emphasis on the national level and key legislative acts of the past four decades. The second section explores six historic guiding principles connected with national energy production and use, and the third section identifies how each of these conditions is eroding. The fourth section highlights the general implications of this shift for energy governance, namely that energy decision-making is now complex, inconsistent, vertically and horizontally fragmented and politicized.