Policy Analysis of Water Management for the Netherlands

Vol. XX, Industry Response Simulation Model

by P. Baan, James P. Stucker

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The present volume describes the major model used in estimating the impacts of water-management tactics on industrial firms. It contains detailed documentation of the Industry Response Simulation Model (IRSM), explaining the structure, inputs, and attributes of that model. Chapter 2 presents the general structure of the model and discusses its inputs and outputs and the underlying assumptions of the model. In Chap. 3, the authors consider the unit cost estimates, which are subject to economies of scale and are used as input to the model. The results that can be obtained with IRSM are presented in Chap. 4. Chapter 5 deals with sensitivity analysis and shows the sensitivity of the results to the different assumption and cost parameters used in IRSM. Finally, brief concluding remarks on the reliability of the model and the purposes for which it should be used are offered.

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