Impact on the Economy of Michigan of Proposed Additional Diversion of Lake Michigan Water at Chicago: An Exploratory Study
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Date
2011-04-01January 19
Author
Gadzikowski, Gilbert R.
The W.E. Upjohn Institute for Employment Research
Metadata
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Commerce; Water Diversion; Lake Michigan; Michigan; Chicago; Illinois; Shipping; Conservation; Beach; Wetland; MarinaAbstract
Chicago, Illinois, currently diverts some 3,000 c.f.s. (cubic feet per second) of
Lake Michigan water over the divide into the Mississippi River Valley. The
State of Illinois on behalf of the Elmhurst - Villa Park - Lombard Water Commission
is asking the United States Supreme Court for permission to divert additional
amounts of Lake Michigan Water into the Mississippi River Valley.
Other similarly situated communities in Illinois are awaiting the outcome of this
litigation. The other Great Lakes States (excepting Indiana) are presenting
testimony to support their complaint that the water presently diverted as domestic
pumpage by the City of Chicago should be returned to Lake Michigan
after purification by sewage treatment works; or, in the alternative, that steps
be taken to reduce the present diversion now amounting to 3,300 c.f.s.1. That the Great Lakes are a communal body of water is obvious. But how one
statenulls use of the water affects the use that another state can make of it is not so
obvious. To be sure, if one state removes water from the basin, the other states
have that much less water for their use, but at what damage to them? The effects
of such diversion by one community upon the other communities need to
be explored.
In this exploratory study, we limit our interest to economic effects. The
economic effects occur because diversion action by Chicago affects the capacity
of other states of the community to produce or to consume. What are the
effects?