Measuring the Gains to Groundwater Management with Recursive Utility

摘要: The current literature on non-cooperative and strategic groundwater extraction assumes user behavior that conforms to the highly stylized assumption of time-additive separability individual's objective criterion. This paper examines how measured gains management changes when this is relaxed in favor a recursive utility specification takes path-dependency into account modeling under both central regimes. Application framework empirical case Kern County, California shows difference significantly larger than which separability. also computational method assessing benefits over time must be modified order properly for these gains.