The Barton Lecture Series on Law and Economics- Economic Perspectives at the SEC

Michael Piwowar, Commissioner of the US Securities and Exchange Commissioner lectures as part of the Center for Humanities in an Urban Environment Lecture Series. Lecture held on October 21, 2014.

Land-cover detection and landscape structure analysis in the Pachitea Basin, Peruvian Amazon

Classification procedures, including atmospheric correction satellite images as well as classification performance utilizing calibration and validation at different levels, have been investigated in the context of a coarse land-cover classification scheme for the Pachitea Basin. Two different correction methods were tested against no correction in terms of reflectance correction towards a common response for pseudo-invariant features (PIF). The accuracy of classifications derived from each of the three methods was then assessed in a discriminant analysis using crossvalidation at pixel, polygon, region, and image levels. Results indicate that only regression adjusted images using PIFs show no significant difference between images in any of the bands. A comparison of classifications at different levels suggests though that at pixel, polygon, and region levels the accuracy of the classifications do not significantly differ between corrected and uncorrected images. Spatial patterns of land-cover were analyzed in terms of colonization history, infrastructure, suitability of the land, and landownership. The actual use of the land is driven mainly by the ability to access the land and markets as is obvious in the distribution of land cover as a function of distance to rivers and roads. When considering all rivers and roads a threshold distance at which disproportional agro-pastoral land cover switches from over represented to under represented is at about 1km. Best land use suggestions seem not to affect the choice of land use. Differences in abundance of land cover between watersheds are more prevailing than differences between colonist and indigenous groups.

Water Demand and Allocation in the Mara River Basin, Kenya/Tanzania in the Face of Land Use Dynamics and Climate Variability

The Mara River Basin (MRB) is endowed with pristine biodiversity, socio-cultural heritage and natural resources. The purpose of my study is to develop and apply an integrated water resource allocation framework for the MRB based on the hydrological processes, water demand and economic factors. The basin was partitioned into twelve sub-basins and the rainfall runoff processes was modeled using the Soil and Water Assessment Tool (SWAT) after satisfactory Nash-Sutcliff efficiency of 0.68 for calibration and 0.43 for validation at Mara Mines station. The impact and uncertainty of climate change on the hydrology of the MRB was assessed using SWAT and three scenarios of statistically downscaled outputs from twenty Global Circulation Models. Results predicted the wet season getting more wet and the dry season getting drier, with a general increasing trend of annual rainfall through 2050. Three blocks of water demand (environmental, normal and flood) were estimated from consumptive water use by human, wildlife, livestock, tourism, irrigation and industry. Water demand projections suggest human consumption is expected to surpass irrigation as the highest water demand sector by 2030. Monthly volume of water was estimated in three blocks of current minimum reliability, reserve (>95%), normal (80–95%) and flood (40%) for more than 5 months in a year. The assessment of water price and marginal productivity showed that current water use hardly responds to a change in price or productivity of water. Finally, a water allocation model was developed and applied to investigate the optimum monthly allocation among sectors and sub-basins by maximizing the use value and hydrological reliability of water. Model results demonstrated that the status on reserve and normal volumes can be improved to ‘low’ or ‘moderate’ by updating the existing reliability to meet prevailing demand. Flow volumes and rates for four scenarios of reliability were presented. Results showed that the water allocation framework can be used as comprehensive tool in the management of MRB, and possibly be extended similar watersheds.