A TRADE-OFF ANALYSIS OF ALTERNATIVE WATER USES1

ABSTRACT: In the western United States, hydropower and agriculture often cempete for surface waters. Since water markets are imperfect, allocations are often made through institutional arrangements and policy The purpose of this paper is to compare the gross water returns from agriculture with hydropower in terms of water use in Idaho. For the year 1986, returns from agriculture averaged $200 per acre-foot, and returns from hydropower averaged $8.00 per acre-foot.