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Commitment vs. noncommitment behaviors in natural resource conflicts: A case study of groundwater resources

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  • Mabel Tidball

    (CEE-M - Centre d'Economie de l'Environnement - Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Montpellier - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement - UM - Université de Montpellier)

  • Julia de Frutos Cachorro

    (UB - Universitat de Barcelona)

  • Guiomar Martín-Herrán

    (IMUVA - Instituto de Investigación en Matemáticas - UVa - Universidad de Valladolid [Valladolid])

Abstract

We examine the problem of natural resource exploitation when an exceptional extraction of a resource (groundwater) is needed that is devoted to a different use than its regular use. The study applies a two-stage Stackelberg game to examine the strategic behavior of players who compete for water, with the leader (public resource manager), with varying degrees of environmental and public health concerns; the manager of the new (nonregular) resource use, who only intervenes in the second stage of the game; and the follower, who is a regular (agricultural) resource user. We examine the crucial resource of groundwater, introducing two types of Stackelberg equilibria (open-loop and feedback) that can arise depending on agents' commitment behavior, comparing the extraction behaviors of the leader and agricultural user for the two equilibria and the effects on the final state of the resource and agents' profits. Unexpectedly, we demonstrate that situations can occur in which noncommitment strategies could be more favorable than commitment strategies in terms of the final aquifer stock and the regular user's profits.

Suggested Citation

  • Mabel Tidball & Julia de Frutos Cachorro & Guiomar Martín-Herrán, 2023. "Commitment vs. noncommitment behaviors in natural resource conflicts: A case study of groundwater resources," Post-Print hal-04335915, HAL.
    • Handle: RePEc:hal:journl:hal-04335915
    Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-04335915
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games

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