The paper reviews the history of water markets and recent water reforms in the Murray-Darling Basin
(MDB), Australia. A detailed examination of water markets in the MDB is given with a focus on: water
charge and trading rules, trade restrictions, gains from trade, water market information, inter-temporal
market price responses, and the environmental benefits oftrade. Twelve lessons from the development of
water markets in the MDB are provided to assist decision-makers interested in establishing or improving
water markets in Australia, and beyond
The paper reviews the history of water markets and recent water reforms in the Murray-Darling Basin
(MDB), Australia. A detailed examination of water markets in the MDB is given with a focus on: water
charge and trading rules, trade restrictions, gains from trade, water market information, inter-temporal
market price responses, and the environmental benefits oftrade. Twelve lessons from the development of
water markets in the MDB are provided to assist decision-makers interested in establishing or improving
water markets in Australia, and beyond
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