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Expanding Irrigated Agriculture in Alberta: An Economic Impact Assessment

  • Author / Creator
    Amsalu, Dareskedar W
  • This study assessed the economic impacts of Alberta’s irrigated agriculture industry as of 2011 and evaluated the economic viability of expanding the irrigated crop land by 10% within the 13 irrigation districts in southern Alberta. Results of the economic impact assessment revealed that irrigation, directly or indirectly, generated $3.2 billion to the national gross domestic product. The distribution of these benefits was 17% for producers and 83% for the province and the nation. Results of the economic viability analysis revealed that with the existing government subsidy of 75% to the irrigation rehabilitation program, investment for expansion of irrigated crop land would be economically viable for producers. However, in the absence of this effective government subsidy, the investment would be unattractive. The results are consistent with the fact that irrigation expansion is a capital-intensive project and as such its economic viability for producers is contingent upon the levels of subsidy and the opportunity costs of capital. The results have important policy implications for the provision of economic incentives for producers investing in water saving irrigation technologies.

  • Subjects / Keywords
  • Graduation date
    2017-06:Spring 2017
  • Type of Item
    Thesis
  • Degree
    Master of Science
  • DOI
    https://doi.org/10.7939/R3XP6VG20
  • License
    This thesis is made available by the University of Alberta Libraries with permission of the copyright owner solely for non-commercial purposes. This thesis, or any portion thereof, may not otherwise be copied or reproduced without the written consent of the copyright owner, except to the extent permitted by Canadian copyright law.
  • Language
    English
  • Institution
    University of Alberta
  • Degree level
    Master's
  • Department
    • Department of Resource Economics and Environmental Sociology
  • Specialization
    • Agricultural and Resource Economics
  • Supervisor / co-supervisor and their department(s)
    • Scott Jeffrey (Department of Resource Economics and Environmental Sociology)
  • Examining committee members and their departments
    • Brent Swallow (Department of Resource Economics and Environmental Sociology)
    • John Parkins (Department of Resource Economics and Environmental Sociology)
    • Terry Veeman (Department of Resource Economics and Environmental Sociology)