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THE JOURNAL OF ECONOMIC SCIENCES: THEORY AND  PRACTICE, V.70,  # 1, 2013,  pp. 4-22



               In the Panhandle area, of the water  obtained from the Ogallala Aquifer,


               approximately 90 percent is used for irrigation (Amosson et al., 2006).


                    The Ogallala Aquifer, however, is essentially a closed basin and withdrawals


               greatly exceed the recharge, which together with the overdraft for irrigation have


               led to a severe decline in its water table (Colaizzi et al., 2008). It was estimated


               that the total water in storage in 2009 was about 2.9 billion acre-feet, which was a


               decline of about 273 million acre-feet (or about 9 percent) since predevelopment.


               The area-weighted,average water-level change from predevelopment to 2009 was a


               decline of 14 feet and the water-level change in aquifer levels in different states

               ranges from an increase of 84 feet in Nebraska to a 234 feet decrease in Texas


               (McGuir, 2011) (table 1).


                    In order to conserve the water extracted from the Ogallala Aquifer for


               irrigation, irrigation technology has been improved in the Panhandle area. As a


               result, center pivot increased steadily  from 1989  and more rapidly thereafter,


               reaching 72 percent by 2000 (Colaizzi et al., 2008).


                     Despite efficiency of the central pivot system, especially when designed with


               LEPA or LESA irrigation packages which are highly applied in the Texas


               Panhandle area, Studies show that irrigators generally tend to over irrigate when


               compared to actual crop requirements (Marek, 1996). This is especially true for


               irrigated corn, which is a major commodity within the area due to the intensive,



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