Abstract:
:The concern on the effects and potential consequences of the displacements of water resources through international trade has increased in the last decades. Today, water scarcity is considered one of the main problems in the world. Despite large advances on its quantification and understanding, further research on the anthropogenic determinants of the exchanges of water embodied in international trade is necessary. Our study aims to shed light on the trajectories and explaining factors of water exchanges in the European Union. In particular, we analyse how the 2003 Common Agricultural Policy (CAP) reform, which decoupled direct subsidies from production, affected European water consumption through agri-food exports. First, our methodology relies on the bottom-up approach to estimate European long-term exports of virtual water from 1995 to 2013. Second, we assess the effect of the reform on water consumption using panel data analysis in a trade gravity framework. Our main results show that the 2003 reform boosted extra European virtual water exports. We also observe a large heterogeneity in our sample, pointing to Mediterranean areas as the most affected by the policy reorientation. Spain, one of the most water scarce countries in the European Union, is essential to explain this link.
journal_name
J Environ Managejournal_title
Journal of environmental managementauthors
Serrano A,Valbuena Jdoi
10.1016/j.jenvman.2020.111606subject
Has Abstractpub_date
2021-02-01 00:00:00pages
111606eissn
0301-4797issn
1095-8630pii
S0301-4797(20)31531-0journal_volume
279pub_type
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