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By M. Atwi and J. Sánchez Chóliz


Water in the Jordan Basin has been a key factor in the conflict between Israel and the Palestinians, and between Israel and its neighbors. Efficient water use requires cooperation rather than confrontation. In this paper, we explore sharing water through a negotiation game between Arabs and Israelis. We estimate a set of optimum Pareto allocations, as well as identifying a range of negotiated solutions. Our results suggest that viable solutions would improve incomes by some 20 % compared to the current status quo. These solutions are close to the long-standing Johnston Plan proposal, which still provides a useful benchmark today

Topics: Key words, Negotiation Game, Fairness Criteria, Water conflict, Jordan River Basin JEL Codes, C78, D74, Q25
Year: 2013
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