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An empirical evaluation of environmental Alternative Dispute Resolution methods

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  • Bonev, Petyo
  • Matsumoto, Shigeru

Abstract

This paper empirically evaluates different Alternative Dispute Resolution methods. Using a novel dataset on environmental disputes from Japan, we show that consensus-based approaches such as mediation lead on average to shorter duration and higher satisfaction than top-down approaches such as arbitration. Moreover, our findings suggest that the benefits depend on the transaction cost of resolving a dispute: while disputes with high transaction costs tend to benefit more from top-down approaches, disputes with lower costs benefit more from consensual resolution methods.

Suggested Citation

  • Bonev, Petyo & Matsumoto, Shigeru, 2022. "An empirical evaluation of environmental Alternative Dispute Resolution methods," Economics Working Paper Series 2208, University of St. Gallen, School of Economics and Political Science.
  • Handle: RePEc:usg:econwp:2022:08
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    References listed on IDEAS

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    More about this item

    Keywords

    Environmental policy; environmental disputes; Alternative Dispute Resolution; Coase Theorem;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • C78 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Bargaining Theory; Matching Theory
    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
    • Q34 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Natural Resources and Domestic and International Conflicts
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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