The Effect of Per-Capita Income Growth on Net Imports of Virtual Water in Selected Countries

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Moallemi Mozhgan

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Journal Paper

Paper Information

Journal: JOURNAL OF APPLIED THEORIES OF ECONOMICS Year:2018 | Volume:5 | Issue:1 Page(s): 133-158

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Information Journal Paper

Title

The Effect of Per-Capita Income Growth on Net Imports of Virtual Water in Selected Countries

Author(s)

Moallemi Mozhgan | Issue Writer Certificate

Keywords

Virtual water importsQ1

Per-capita incomeQ2

Panel DataQ2

Persian Gulf countriesQ2

European countriesQ1

Abstract

Today, the concept of virtual water is one of the most important issues in water resources management. Although there are many studies in the world about this, however, there are few limited quantitative studies in the field of virtual water in Iran. Considering the critical situation of water resources in low-water regions of the world, especially in Iran, this issue is of great importance. The innovation of the present paper is to compute virtual water values by 6-digit SITC codes for all sectors of the economy in selected countries (Persian Gulf countries and European countries). So, for each export and import code in the countries, the amount of virtual water is calculated. The aim of this paper is to estimate the effect of the growth of per capita income on the net import of virtual water in selected countries during 2001-2012, using estimated values of water contained in products. For this purpose, using the Panel Data method, an econometric model is estimated. The results of the model estimation showed that, according to theoretical foundations, there is a U-inversion relationship between per capita income and the growth of Virtual water imports. So that, Virtual import of water in countries with lower per capita income (Persian Gulf countries) is facing increasing growth. Therefore, it is recommended that in such countries, products with higher water productivity should be considered for export. On the other hand, import relies on products with lower water productivity.

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APA: Copy

Moallemi, Mozhgan. (2018). The Effect of Per-Capita Income Growth on Net Imports of Virtual Water in Selected Countries. JOURNAL OF APPLIED THEORIES OF ECONOMICS, 5(1 ), 133-158. SID. https://sid.ir/paper/405023/en

Vancouver: Copy

Moallemi Mozhgan. The Effect of Per-Capita Income Growth on Net Imports of Virtual Water in Selected Countries. JOURNAL OF APPLIED THEORIES OF ECONOMICS[Internet]. 2018;5(1 ):133-158. Available from: https://sid.ir/paper/405023/en

IEEE: Copy

Mozhgan Moallemi, “The Effect of Per-Capita Income Growth on Net Imports of Virtual Water in Selected Countries,” JOURNAL OF APPLIED THEORIES OF ECONOMICS, vol. 5, no. 1 , pp. 133–158, 2018, [Online]. Available: https://sid.ir/paper/405023/en

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