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Water markets are not perfect, but vital to the future of the Murray-Darling Basin

By Neal Hughes, Senior Economist, Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES)

Water markets have come in for some bad press lately, fuelled in part by the severe drought of 2019 and resulting high water prices.

They have also been the subject of an Australian Competition and Consumer Commission inquiry, whose interim report released last year documented a range of problems…

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