African Journal of Ecology and Ecosystems ISSN 2756-3367 Vol. 8 (8), pp. 001-006, August, 2021. © International Scholars Journals

Full Length Research Paper

Assessment of water resource allocation policies based on the principle of comparative advantage and a policy analysis matrix: A case study of Hamedan-Bahar Plain

Mehdi Nemati*, Samane Zare, Ebad Allah Nemati and Ali Sadeghi

Department of Agricultural Economics, Faculty of Economics and Agricultural Development,

College of Agriculture and Natural Resources, University of Tehran, Karaj, Iran.

Accepted 15 May, 2021

Abstract

Comparative advantages of agricultural products were evaluated using the policy analysis matrix (PAM), to determine the combination of products according to market and shadow prices. Based on these evaluations, maximum amount for import virtual water was identified. Results showed that optimum cropping pattern in term of maximizing social benefits not only had the highest amount of benefits - 29160 USD but it also required much less water amount consumption in comparison with the two other cropping patterns.

Key words: Virtual water, policy analysis matrix (PAM), comparative advantage, social benefit, gross margin.