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Abstract

This study aims to analyse the water consumption of the Macedonian economic sectors and their trade strategies by means of virtual water in an input-output (IO) framework. By analysing the trade balance we determine that as consequence of high virtual water content and significant exports of some sectors, Macedonia is a net exporter of virtual water and lost around 124 million of m3 water at 2005 level or 18% of the total water consumption. Considering a policy option of export nullification for the most water-intensive products with significant net positive exports, yields a substantial water savings by 42.53% of the total water consumption.

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