A study on the water resource pricing problem based on the recycling economy concept

In order to establish a scientific and reasonable price of water resources and to exploit water resources reasonably, this paper proposes a full cost water resource pricing model on the basis of literature reviews. It points out the method to determine the water supply price, opportunity costs, external costs and the water resource price ceiling. It also develops the water resource dynamic price model at the same time. Finally the paper takes Shenzhen as a case to test the validity of the model. The results indicate the reasonability of the method.