Topic 1 - Balancing Water Flows in California

Analyzing the Benefits and Costs of California Water Policy

Imagine you are an advisor to the Governor of California, who is considering mandatory increases in water flows to the California Delta. This policy would reduce the flow of water to California’s Central Valley. Below are key questions to consider when analyzing the potential impacts of this policy. Refer to the provided article, podcast, and news links for the context and insights.

• NPR, “California’s Drought Ripples Through Businesses, Then To Schools”
• New York Times, “Threatened Smelt Touches Off Battles in California’s Endless Water Wars”
• Fox News, “Sean Hannity Exposes the Man-Made Drought in California”

1. Costs Associated with Increased Water Flows to the California Delta

Describe Three Costs:

• Consider the potential impacts on agriculture and the local economy in the Central Valley.
• Think about how changes in water availability might affect local employment and community well-being.
• Reflect on how water scarcity could influence prices for residents and businesses.

Variation in Importance of Costs:

• How might these costs vary in significance for different stakeholders, such as farmers, residents, and businesses?

2. Benefits of Increasing Water Flows to the California Delta

Describe Three Benefits:

• Consider how increased water flows could help restore ecosystems and support biodiversity.
• Think about how higher water flows might improve water quality in the Delta.
• Reflect on the potential long-term sustainability benefits of increased water flows to the Delta.

Differences in Value of Benefits:

• How might these benefits differ in value depending on who is impacted, and in what ways?

3. Encouraging an Economically Efficient Policy

Definition of Economic Efficiency:

• What does it mean for a policy to be economically efficient?

Identifying Efficient Water Allocation:

• How might you determine an efficient allocation of water between the Delta and Central Valley, considering both the costs and benefits?

4. Why Allocating All the Water to the Delta Doesn’t Make Sense

• Why might allocating all of the available water to the Delta have negative consequences for other sectors, such as agriculture?

5. Why Allocating All the Water to California’s Farmers Doesn’t Make Sense

• Why might allocating all of the available water to farmers have negative consequences for the environment and long-term sustainability?