Multiregional Input-Output Model for China's Farm Land and Water Use

Land and water are the two main drivers of agricultural production. Pressure on farm land and water resources is increasing in China due to rising food demand. Domestic trade affects China's regional farm land and water use by distributing resources associated with the production of goods and services. This study constructs a multiregional input-output model to simultaneously analyze China's farm land and water uses embodied in consumption and interregional trade. Results show a great similarity for both China's farm land and water endowments. Shandong, Henan, Guangdong, and Yunnan are the most important drivers of farm land and water consumption in China, even though they have relatively few land and water resource endowments. Significant net transfers of embodied farm land and water flows are identified from the central and western areas to the eastern area via interregional trade. Heilongjiang is the largest farm land and water supplier, in contrast to Shanghai as the largest receiver. The results help policy makers to comprehensively understand embodied farm land and water flows in a complex economy network. Improving resource utilization efficiency and reshaping the embodied resource trade nexus should be addressed by considering the transfer of regional responsibilities.