英文摘要 |
Taiwan was facing a most serious drought season in the past 68 years early this year, and a three stage limited water supply measure was proposed to deal with drought. At the same time, California State in the US was also experiencing four-year drought and the worst drought in its history, and a mandatory water use reduction was imposed. Though both regions have established their own drought contingency plan, the strategies are rather different. Following the drought crisis, the purpose of this paper is to advocate that good information for decisions in water resource management is critical to achieve better performance. Since economics is the study of the allocation of scarce resources, it has the advantage to address trade-offs among the disparate factors that are constantly encountered during decision making about water. In order to make wise choices, economists must compare the costs and benefits associated with each alternative or option they consider. They always think that their choices entail costs, the so-called free lunch. Besides, before economists can recommend any policies for dealing with problems or achieving goals, they must use economic theory to understand how the real world operates. As a matter of fact, not only economics is conducive to better decisions in water resource management, another discipline-science of management-is also important in complement with economics. |