Water is a rising topic in economic and management research and policy. Water has several characteristics that make a mono-disciplinary approach difficult: it is a vital nutrient, has important ecological implications, is a network industry and in most cases a natural monopoly, and plays – for these and for other reasons – an important role for local, national, and international politics. The research program “Water Economics and Management” wants to explore various aspects of the water sector, using economic and management theory and empirical methods, while keeping close contact with other approaches, such as engineering and political sciences. Among the research topics are the following:
Industrial Organization / Microeconomics:
- Regulation theory (yardstick competition, increasing or decreasing block tariffs, regulation and pricing in developing countries)
- Environment (optimal use of water, external effects)
Water and Wastewater Management:
- Water treatment and sewerage
- Water demand, scenario methods
- "Virtual water", assessment of virtual water flows between nations in relation to international trade
- Accounting rules
Numeric Modelling:
- Economic modelling taking into account network effects
- Scarcity pricing
Econometrics:
- Benchmarking / Efficiency analysis
- Demand estimations
Institutional / Policy Issues:
- Privatization and public-private-partnerships (PPP) in water distribution
- Organizational reforms in the German and European water sector
- "Fernwasser" / "Stadtwerke"