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Trust, regulation and participatory forest management: Micro-level evidence on forest governance from Ethiopia

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  • Kahsay, Goytom Abraha
  • Bulte, Erwin

Abstract

A small literature investigates the co-evolution of culture and institutions (formal regulation). We present new micro-level evidence on the relationship between culture and institutions in forest resource management. Using data on forest user groups in Ethiopia, we document a negative correlation between various measures of trust and the degree of formalization of forest monitoring and extraction. Additional analysis suggests the nature of this relation is causal: groups with low level of trust implement more extensive rules to govern monitoring and extraction of their forest resource. This is consistent with the idea that trust and rules are substitutes in natural resource management.

Suggested Citation

  • Kahsay, Goytom Abraha & Bulte, Erwin, 2019. "Trust, regulation and participatory forest management: Micro-level evidence on forest governance from Ethiopia," World Development, Elsevier, vol. 120(C), pages 118-132.
    • Handle: RePEc:eee:wdevel:v:120:y:2019:i:c:p:118-132
    DOI: 10.1016/j.worlddev.2019.04.007
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    Cited by:

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    2. Kibria, Abu SMG & Costanza, Robert & Soto, José R, 2022. "Modeling the complex associations of human wellbeing dimensions in a coupled human-natural system: In contexts of marginalized communities," Ecological Modelling, Elsevier, vol. 466(C).
    3. He, Jun & Martin, Adrian & Lang, Rong & Gross-Camp, Nicole, 2021. "Explaining success on community forestry through a lens of environmental justice: Local justice norms and practices in China," World Development, Elsevier, vol. 142(C).
    4. Kahsay, Goytom Abraha & Bulte, Erwin, 2021. "Internal versus top-down monitoring in community resource management: Experimental evidence from Ethiopia," Journal of Economic Behavior & Organization, Elsevier, vol. 189(C), pages 111-131.
    5. Yami, M. & Mekuria, Wolde, 2022. "Challenges in the governance of community-managed forests in Ethiopia: review," Papers published in Journals (Open Access), International Water Management Institute, pages 1-14(3):147.
    6. Mehdi Zandebasiri & José António Filipe & Javad Soosani & Mehdi Pourhashemi & Luca Salvati & Mário Nuno Mata & Pedro Neves Mata, 2020. "An Incomplete Information Static Game Evaluating Community-Based Forest Management in Zagros, Iran," Sustainability, MDPI, vol. 12(5), pages 1-14, February.
    7. Lin, Boqiang & Ge, Jiamin, 2021. "Does institutional freedom matter for global forest carbon sinks in the face of economic development disparity?," China Economic Review, Elsevier, vol. 65(C).

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    More about this item

    Keywords

    Trust; Social capital; Institutions; Forest management; Forest user groups;
    All these keywords.

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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