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Updated: Jun 6, 2025

Watershed Planning within a Quantitative Scenario Analysis Framework
Published on: July 24, 2016
Hydro-Economic Risk and Resilience to Supply Chain Water Scarcity in Chinese Cities
Ziyan Fu1,2, Siao Sun1,2, Megan Konar3
1Key Laboratory of Regional Sustainable Development Modeling, Institute of Geographic Sciences and Natural Resources Research, Chinese Academy of Sciences, Beijing 100101, China.
Supply chains amplify local water scarcity risks threefold nationally, impacting city economies. Enhancing hydro-economic security requires addressing correlated risks and resilience dimensions for vulnerable cities.
Area of Science:
- Environmental Economics
- Water Resource Management
- Supply Chain Analysis
Background:
- Current research on virtual water in supply chains focuses on quantities, neglecting economic impacts.
- Assessing economic costs and resilience to water scarcity is crucial for informed decision-making.
Purpose of the Study:
- To quantify water scarcity risks and resilience at the city level in China.
- To analyze the economic impacts of water scarcity across supply chains.
Main Methods:
- Utilized an income-based multiregional input-output approach (2007-2017).
- Quantified water scarcity risks and resilience, considering physical water transfer.
Main Results:
- Supply chains amplify local economic risks by three times nationally, up to tenfold in some cities.
- City-level resilience to water scarcity varies and is negatively correlated with scarcity risks.
Conclusions:
- Addressing correlated risk and resilience dimensions is vital for enhancing urban hydro-economic security.
- Cities in North, Northeast, and East China face high risks and low resilience, requiring prioritized national policy interventions.
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