Market-based governance and water management: the limits to economic rationalism in public policy

Lyndal Hasselman, Gerry Stoker

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

Markets are powerful mechanisms for social coordination but critics claim that there are potential negative impacts. Market exchange can exacerbate inequalities in society. The invisible hand of market decision-making can lead to major social choices not being publicly aired. Market mechanisms can crowd out moral motivations with negative consequences. Water markets have long been promoted as one of the most efficient ways to reallocate water by economists. Focusing on an exemplary implementation of the water market in Australia, our results suggest that some features of the way market-based governance systems work match the concerns of market critics.

Original languageEnglish
Pages (from-to)502-517
Number of pages16
JournalPolicy Studies
Volume38
Issue number5
DOIs
Publication statusPublished - 3 Sep 2017

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rationalism
water management
public policy
governance
market
economics
water
critic
market mechanism
economist
decision making

Cite this

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Market-based governance and water management: the limits to economic rationalism in public policy. / Hasselman, Lyndal; Stoker, Gerry.

In: Policy Studies, Vol. 38, No. 5, 03.09.2017, p. 502-517.

Research output: Contribution to journalArticle

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