The Fluid Nature of Property Rights in Water

Abstract

From p. 53: "Water rights may be defined as limited property rights under state law in order to prioritize private rights among citizens and establish a tradable permits system. Valuation of these rights is necessary for a properly functioning permit market and may also be required for corporations claiming these rights as assets. However, rights to use water can be valued without assigning ownership, in the same way that mining rights or grazing rights on federal land are valued. States should treat water as a public resource and hold ownership rights in trust for the public by recognizing the public trust doctrine and granting only private usufructuary rights that do not interfere with the public good."