CONTENTS 



Page 



PREFACE i 



HIGHLIGHTS, SUMMARY, AND CONCLUSIONS ii 



PART I. INTRODUCTION 1 



1.1 Plan of this Report 2 



1.2 Description of the Ashuelot Watershed 2 



1 .3 Surry Mountain Dam 5 



1.4 Source of Data 5 



1.5 Some Model Assumptions 5 



PART II. MODEL AND METHOD OF ANALYSIS 7 



2.1 Mathematical Model 7 



2.2 Flow Levels 9 



2.3 Model Sectors 11 



PART III. INFLUENCE OF CHOICE OF GOALS ON RIVER-BASIN 

 COSTS, BENEFITS, AND RESOURCE ALLOCATION . . 



13 



3.1 Effect of Objective Function on Level of Economic 



Activity 13 



3.2 Effect of Objective Function on Cost 15 



3.3 Effect of Objective Function on Resource Allocation 15 



3.4 Effect of Objective Function and River Flow on 



Resource Allocation by Sectors 15 



3.41 Rural Household Sector 18 



3.42 Recreation Sector 18 



3.43 Forest and Agriculture Sector 18 



3.44 Intensive Residential and Urban Sectors 23 



3.45 Industrial Sector 23 



PAR 3.5 Summary 24 



PART IV. LAKE-WATER RESOURCES 25 



4.1 Lake Resources in the Ashuelot River Basin 25 



4.2 Results: Lake and Related Land-Resource Use 25 



4.3 Results: ImpUed Prices for Lake Surface, Shoreline, 



and Recreation Area 26 



4.4 Implicit Values for Lake Shore Cottages 28 



4.5 Effect of Raising Vacation Cottage Price 30 



4.6 PubUc and Private Park Tenting and Day Use 30 



4.7 Boating and Pollution from Outboard Engine Exhaust 31 



VI 



