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Land subsidence due to groundwater withdrawal combined with a globalsea level rise creates a serious environmental problem in the coastal region. Groundwater withdrawal results in fluid pressure change in the layers. The pressure change in the layers induces both elastic and inelastic land compaction. The elastic compaction can be recovered if the water level rises again and inelastic compaction becomes permanent. Groundwater response to barometric pressure change is used to estimate the elastic compaction in this study. The storativity, specific storage and other layer and hydrological information are used to estimate the inelastic compaction of the layers due to fluid withdrawal. The discussed methods are applied to estimate and predict the subsidence potentials resulting from overdrafting of the groundwater in the southern New Jersey. The estimated subsidence is about 2-3 cm nearthe location of monitoring wells in Atlantic, Camden, Cumberland andCape May Counties over the past 20 years. If the current trend of water-level drop continues, the average subsidence in southern New Jersey in the vicinity of some monitoring wells will be about 3 cm in thenext 20 years. The rise of global sea level is about 2 mm/year on average. Because of the very gentle slope in southern NJ, the combination of subsidence and sea level rise will translate into a potentiallysubstantial amount of land loss in the coastal region in each 20 year period. This combination will also accelerate the coastal flooding frequency and the erosion rate of the New Jersey coastal plain, and pose a serious threat to the coastal economy. [ABSTRACT FROM AUTHOR]