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Ag-urban transfers allow the state of California as a whole to use water more efficiently.
Water banking was established after a four year drought in 1991. This was developed as a clearinghouse for facilitating water market transactions between willing buyers and sellers.
Water markets are a way of balancing supply and demand, not a source to supply water...
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Markets are valuable to allow users to get more out of there water supply because of gains from trade. Water conservation is a main focus and is promoted by the use of water markets.
The population growth has put a substantial demand on the water supply of California. Water markets are a beneficial way to stretch the supply of water through the use of trade and transfer...
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Califonia's Water Crisis
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