Agricultural Economics and Development

Agricultural Economics and Development

Application of Simultaneous Compromise Constraint model for optimal allocation of water resources between economic sectors with emphasis on agriculture: A Case Study of Iran’s Yazd Province

Document Type : Original Article

Authors
M. Dehghanizadeh 1
S. Bakhtiari 2
S Daei-Karimzadeh 3
1 PhD Student in Economics, Department of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran
2 Professor, Department of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran
3 Associate Professor, Department of Economics, Isfahan (Khorasgan) Branch, Islamic Azad University, Isfahan, Iran
10.30490/aead.2021.342932.1233
Abstract
In this study, a Simultaneous Compromise Constraint method was used for optimal allocation of limited water resources between different economic sectors of Yazd province by emphasis on agricultural sector. The novelty of the present study is the renovation of the aforementioned method by addition an extra constraint (employment constraint). The results of the study indicate that, based on the water allocated to the different sectors, 5.2 percent annual growth (at a fixed price) will be achieved in the year 2020, in comparison to the base year. The ratio of employment to the expected objective will be about 98.8%. Due to reduction of available water, the main pressure will be on the agricultural sector, the efficiency of the model in the optimal attention to simultaneous multiple goals, causes water allocation to be such that even the agricultural sector has an annual economic growth of 0.4. The results indicate that, the method has a high ability to compromise between goals and optimal allocation of water resources in order to achieve the goals in accordance with the facts. Therefore, the proposed model could be considered as a suitable method for providing water sector plans.
Keywords
Water Restriction
Optimization
Satisfaction Level
Economic Return
Weighting Technique
Compromise Constraint
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