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This paper examines economic aspects of the large-scale irrigation project that is currently under construction in the southern desert of Egypt. Lonergan and Wolf (2001) suggest that success of the Toshka project will be determined largely by the degree to which private firms invest in agricultural enterprises in the region. That perspective does not account for the public costs of attracting private firms or the opportunity costs of capital and other scarce resources invested in the project. This note presents a conceptual framework that addresses those issues and an empirical example that provides a preliminary indication of the potential costs and benefits of the Toshka project. The role of government subsidies in attracting private sector investments also is discussed.
This paper examines economic aspects of the large-scale irrigation project that is currently under construction in the southern desert of Egypt. Lonergan and Wolf (2001) suggest that success of the Toshka project will be determined largely by the degree to which private firms invest in agricultural enterprises in the region. That perspective does not account for the public costs of attracting private firms or the opportunity costs of capital and other scarce resources invested in the project. This note presents a conceptual framework that addresses those issues and an empirical example that provides a preliminary indication of the potential costs and benefits of the Toshka project. The role of government subsidies in attracting private sector investments also is discussed.
Moving Water to Move People
Wichelns, Dennis (author)
Water International ; 28 ; 52-56
2003-03-01
5 pages
Article (Journal)
Electronic Resource
Unknown
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