Water resources | Economics homework help

water resource economics

Water Resource Economics

Spring 2024

25 points

(2-3 typed pages including tables/figures)

A vigorous debate rages over which of two potential urban water supply programs is an economically better way to supply safe affordable drinking water to residents of a large poor city. The high points of each program are:

  • Program 1: Supply a minority of the population with cheap piped‐in water by delivering 10,000 acre feet per year of utility supplied water from a central delivery system, at a price equal to the average cost of supply, $300/ac‐ft. The remainder of water must be bought from street vendors described, for example, at https://www.wiego.org/informal-economy/occupational-groups/street-vendorsLinks to an external site. at a price of $900 / ac‐ft.
  • Program 2: Supply the entire population by meeting all demands at a constant price.  This program would build and use a shiny new engineered central delivery system that supplies water at a constant price equal to the average cost of supply.  That price is $600 / per acre foot, charged to all buyers, for which total use is 70,000 ac-ft.

Your task is to compare Total Annual Economic Benefits (TAEB = CS + TR – TC) of each program by ranking the economic performance of each from the view of the city’s water buyers/suppliers.   You can use these abbreviations:

CS = consumer surplus   = willingness to pay minus actual payments          calculated for each program

TR = total revenue           = price x quantity                                                    calculated for each program

TC = total cost                 = average cost x quantity                                        calculated for each program

I will show you more about these terms in our class slides this week, letting you see a down-sloping water demand function for which the maximum price of water (y intercept) is $1650 per ac‐ft.

Q 1 (15 points) Calculate the Total Annual Economic Benefits (TAEB) to the city’s water stakeholders for each program and show calculations.

Q 2 (10 points). You have been hired as an expert consultant, and will snag a juicy consulting fee if you recommend the right choice. Describe your recommended choice and explain why you would make it.







Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your essay today and save 10% with the coupon code: best10