Using a computable general equilibrium approach, this study investigates the economy-wide impact of reductions in water resources in South Africa due to climate change. The simulation results show a potentially general deterioration in household welfare. Poor households are the most vulnerable. Short-run policy simulations suggest that this vulnerability can be reduced through welfare policies that maintain food consumption levels for households in the two lowest income quintiles.
All Science Journal Classification (ASJC) codes
- Management, Monitoring, Policy and Law
- Water Science and Technology