Abstract:Previous studies have failed to capture critical dynamics stemming from overlapping hydrological, power, and economic networks when assessing the economic impacts of future water stress on the power system. In this paper, we employ a coupled water-power-economy model to capture these important interactions. We identified three channels that are key to assessing economic impacts – thresholds, teleconnections, and timing. We find that not all reductions in reserve electricity generation capacity result in impact… Show more
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