Document Type
Article
Publication Date
7-2025
Journal Title
Stanford Environmental Law Journal
ISSN
0892-7138
Abstract
In Don Quixote, there is a moment when all the knightly novels are thrown into the fire for their fantastical depictions of chivalry. Yet one book is spared: Tirant lo Blanc. It is saved because, unlike the others, it portrays knights who die in their beds-offering a more realistic depiction of medieval battles. Similarly, Liquid Asset stands out as the book that should be preserved from the extensive body of scholarship on water markets. Many works in this field are influenced by ideological biases that shape their analyses. In contrast, Buzz Thompson's books provides the nuance and balance often lacking in others.
Liquid Asset brings together key arguments from Professor Thompson's extensive scholarly work, weaving them into a cohesive and compelling narrative. While his contributions are too numerous to list in full, several stand out. First, the importance of institutional analysis, as explored in Institutional Perspectives on Water Policy and Markets. Second, the critical role of the private sector in protecting our resources and advancing societal goals, as examined in The Continuing Innovation of Citizen Enforcement. Third, the necessity of innovation in progressing toward sustainability, as discussed in The Path to Water Innovation. And fourth, the multifaceted nature of water as both an asset and a public good, as discussed in Water as a Public Commodity.
Liquid Asset delivers a clear and urgent message: addressing today's water challenges-and those to come-requires an all-hands-on- deck approach. This includes both the visible hand of government and the invisible hand of the private sector. The latter often not welcomed with open arms. However, successful collaboration demands adjustments to the water regulatory framework-both to accommodate and to place necessary limits on private sector involvement. I deliberately use the term "private sector" rather than "market," as Adam Smith's adage uses, because conflating all forms of private engagement in water under the singular concept of "market" is a mistake. Selling water rights, purchasing a public water utility, developing innovative water purification technologies, and conserving wetlands each require distinct analytical frameworks. Grouping them together risks alienating those who view markets as incompatible with water's inherently public nature-leading to the wholesale rejection of private sector participation.
The book is rich in data and comparative examples, offering infinite avenues for discussion. One particularly important issue it raises is the risk, or lack of it, of speculation in the robust model of water markets that it advocates.
First Page
223
Last Page
242
Num Pages
20
Volume Number
44
Issue Number
2
Publisher
Stanford Law School
Recommended Citation
Vanessa Casado-Pérez,
Liquid Power: Myths, Realities, and Policy Responses to Wall Street's Takeover of Water Markets,
44
Stan. Env't L.J.
223
(2025).
Available at:
https://scholarship.law.tamu.edu/facscholar/2311