Water Crisis and Inter-Provincial Immigration in Iran: An Application of SGMM-DPD Model

The main purpose of this study is to evaluate the effects of changes in surface water resources and extraction of groundwater resources on net migration in 28 Iranian provinces during the period of 2003-2016 using the SGMM-DPD model with application of Arlano-Bond/ Blundell-Bond two-stage coefficients. The results of the model estimation have shown that the extraction of groundwater resources has a nonlinear and threshold effect on inter-provincial migration, meaning that, before the threshold level per capita of 3343 cubic meters, the extraction of water through the strengthening of the agricultural sector has a negative effect on migration, but after extraction of groundwater resources abnormally and crossing the per capita threshold of 3343 cubic meters and increasing the probability of drought risk and famine of groundwater resources, this variable has a positive effect on net migration. Thus, the threshold for extracting groundwater resources per capita of 3,343 cubic meters is considered as a danger to widespread inter-provincial emigration. Nevertheless, the variability of surface water resources has not a significant impact on migration which is due to the very limited contribution of surface water resources to supply water in the provinces which cannot be a sufficient incentive for immigration.