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Ecological Economics 33 (2000) 497 – 499

Book reviews

www.elsevier.com/locate/ecolecon

Conflict and Co-operation on Trans-Boundary Wa -ter Resources, Edited by Richard Just and Sinaia Netanyahu, Kluwer, 1998. ISBN 0-792-81068; US$135.00

The book is the result of a symposium of the International Water and Resource Economics Consortium held at Annapolis, MD, on 13 – 16 April 1997. The book addresses both questions of conflict and co-operation on international trans-boundary water, as well as on domestic perspec-tives of trans-boundary water. It covers a wide range of obstacles to water resource co-operation, such as lack of transparency and asymmetric in-formation, scientific and technological uncertain-ties, enforcement limitations and upstream/

downstream considerations. The analysis is exten-sive in scope and although its focus is on econom-ics, it covers a wide range of disciplines such as political science, environmental studies, interna-tional and nainterna-tional law. The book makes exten-sive use of game theory that takes into account the political realities surrounding trans-boundary water co-operation.

Part I of the book discusses the international trans-boundary water issues and the possibility of co-operation through limited enforcement. Inter-national water resource conflicts are covered both in retrospect, but also through pointing at poten-tial conflicts. Part I illustrates that it is hard to reach an agreement in a river basin if the domi-nant power in the basin opposes it. At the same time, it is suggested that by linking international water disputes to other issues, the trans-boundary problems might be more easily solved.

Part II of the book addresses the domestic aspect of trans-boundary water conflict and co-operation. It discusses causes and solutions to internal water dispute, legal and institutional wa-ter management questions, inwa-terstate wawa-ter issues and co-operative federalism as a way to share water resources. The chapter points to the fact that environmental consideration will play an in-creasingly important role in water resource alloca-tion, and proposes that market forces shouldplay an important role in solving water quality prob-lems. Furthermore, it discusses the diminishing role of the federal government in the water man-agement sector (in the US) and suggests that it should not be diminished since it is important to have a co-ordinated water resource management program. This opinion is strengthened in a discus-sion of a case in Australia where the federal government exercises a decisive role in reaching a co-ordinated and comprehensive solution with re-gard to such aspects as the environment, the economy, efficiency and equity between states.

Part III discusses the expanding scope of trans-boundary water problems. Among the questions addressed is how land management of different local jurisdictions affects the water quality and the need for monitoring of land use changes. How societies adapt to changes in the environment and how these changes can be a root of social conflict is another issue that is being addressed. Further-more, the danger of market exploitation created by a privatisation of water provision is pene-trated. It also elaborates on the problem of how sudden change (mostly political) might affect co-operative trans-boundary water projects. The fo-cus is on development projects that require large

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Book re6iews 498

investment, where interruption of a project easily can lead to a withdrawal of investments.

Part IV deals with economic issues connected to trans-boundary water allocation. It takes a com-prehensive look at the positive as well as the negative sides of establishing water markets. It highlights the organisational problems in estab-lishing water rights, lack of sufficient infrastruc-ture for trading water, third-party economic effects and lack of an institutional structure. Dif-ferent models for water allocation between states are developed and examined using domestic as well as international examples.

In part V, an attempt is made to evaluate the potential contributions that economic analysis can have for the understanding of trans-boundary wa-ter co-operation. It states that the contribution of economists in the resolution of water disputes is to highlight the true costs of both action and inaction, which otherwise tend to be a result of predominantly political considerations. It con-cludes by stating that the economic analysis has to be adjusted to the realities of the political process in order to be applicable.

The main contribution of the book is that it highlights the specific economic mechanisms that can lead to an extended and sustainable co-opera-tion on trans-boundary water resources. It also points to important areas for continued research. The book is well structured and enhances our understanding of the economic aspects of water co-operation, which hitherto have been somewhat neglected in the debate.

Anders Jagerskog

Department of Water and En6ironmental Studies,

Uni6ersity of Linkoping,

Linkoping,

Sweden

PII: S 0 9 2 1 - 8 0 0 9 ( 0 0 ) 0 0 1 2 9 - 4

Sel7a Central:History,Economy and Land Use in

Peru7ian Amazonia, Fernando Santos-Granero and

Frederica Barclay, translated by Elizabeth King, Smithsonian Institution Press, London and Wash-ington, 1998. ISBN 1-56098-761-8

If not a light read,Sel6a Centralis certainly an

impressive one. Encompassing nearly 400 years of history, from Spanish conquest to modern Peru-vian politics, the reader is guided through the processes that have molded this region into its current form. Drawing from numerous and di-verse sources, Fernando Santos-Granero and Frederica Barclay create a comprehensive analysis of the history, ecology, anthropology, and sociol-ogy of the Selva Central region of Peru.

The book is separated into three sections: one on history, one on economy, and one on the integration of the indigenous people. Each section contains a number of chapters dealing with differ-ent aspects of the topic. Because it is highly organized, the book is an ideal reference. The first two sections are of the most interest to ecological economists.

Section one goes into depth about the long history of the region, detailing the economic and political evolution of the provinces. It documents the powerful role the Christian missions have played in the settling of the region, and the trans-fer of land and power from the indigenous peo-ples to Spanish and Andean settlers. This section also systematically shows the agricultural focus of the region shifting from a self-contained agrarian culture concentrated on food production, to a culture and economy inextricably bound to the production of coffee and fruit for the world mar-ket and the corporations that control the trade. This shift resulted in the current economic and ecological state of the region.

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