Theory, Method And Application Of The Transaction Of Water Rights Option

With the increasing scarcity of water resources of our country, the transaction of water rights has to be adopted. There exist many risks for the large water-need projects and new water-use projects, while the transaction of water rights option can evade some risks in the transaction of water rights so as to keep the projects developing successfully. The present dissertation mainly studies the transaction of water rights option.Based on the analysis of water rights the concept of the transaction of water rights option is put forward and the exist condition of water rights option is also discussed in the dissertation. Meanwhile, the concept and condition of water rights option are also put forward based on the investigation of the transaction of water rights and the spot markets of water rights. The principle and scope of the transaction of water rights option are also analyzed. At last the transaction cost of water rights option is discussed according to the theory of transaction cost.Water rights transaction can solve the crisis of water resources effectively and the pricing of water rights is the key problem in the transaction of water rights. The author analyzes the influence factors of water rights price in the aspect of nature properties of water rights, social impact, engineering influence and so on. Based on analysis of these influence factors, some qualitative factors are quantified and an index system is formed. The pricing model of water rights is established by combining a fussy identifying model with the upper and lower bound of water rights price. Besides, combining the characters of water rights the pricing models for European call option, European put option, American call option and American put option are also presented in the dissertation.By establishing the effect function of buyer and seller of water rights transaction for the transaction mode of water rights option and the bargaining mode of water rights, these two transaction modes are analyzed and proved to be both balanced. But only the transaction mode of water rights option is stable. So the former mode is better than the latter mode.Combining the characters of water resources and management organizations in yellow river valley, the author simulates the related data of the water rights transaction and calculates the prices of water rights and water rights option. Furthermore, the transaction of water rights option for yellow river valley is designed in detail, including its organization, principle parts, agreement and program.