IDEAS home Printed from https://ideas.repec.org/a/ags/arerjl/31355.html

Economic And Political Considerations In Regional Cooperation Models

Author

Listed:
  • Dinar, Ariel
  • Wolf, Aaron T.

Abstract

Cooperation among players requires a realization of economic benefits to all players and a meeting of efficiency requirements through economically driven allocations. Cooperation among political (and sometimes hostile) players may not meet these requirements. Political considerations, usually ignored in economic analyses, can hinder or even block possible arrangements. A framework is proposed that includes both economic and political considerations for evaluating transfers or trades of scarce resources. This method quantifies both the economic payoffs using n-person game theory and the political likelihood of any of the coalitions actually forming, using the PRINCE Political Accounting System. The economic-political approach is applied to a case of a potential water transfer in the western Middle East. Results suggest that incorporating political considerations in the analysis stabilizes the regional solution suggested by economic-related allocations.

Suggested Citation

  • Dinar, Ariel & Wolf, Aaron T., 1997. "Economic And Political Considerations In Regional Cooperation Models," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 26(01), pages 1-16, April.
    • Handle: RePEc:ags:arerjl:31355
    DOI: 10.22004/ag.econ.31355
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/31355/files/26010007.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.31355?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Gary D. Lynne & J. S. Shonkwiler & Michael E. Wilson, 1991. "Water Permitting Behavior under the 1972 Florida Water Resources Act," Land Economics, University of Wisconsin Press, vol. 67(3), pages 340-351.
    2. Dinar, Ariel & Wolf, Aaron, 1994. "International Markets for Water and the Potential for Regional Cooperation: Economic and Political Perspectives in the Western Middle East," Economic Development and Cultural Change, University of Chicago Press, vol. 43(1), pages 43-66, October.
    3. repec:cup:apsrev:v:48:y:1954:i:03:p:787-792_00 is not listed on IDEAS
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Encarna Esteban & Ariel Dinar, 2013. "Cooperative Management of Groundwater Resources in the Presence of Environmental Externalities," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 54(3), pages 443-469, March.
    2. Schiff, Maurice & Winters, L. Alan, 2002. "Regional cooperation, and the role of international organizations and regional integration," Policy Research Working Paper Series 2872, The World Bank.
    3. Yu Chen & Anthony G. O. Yeh & Yingxuan Zhang, 2017. "Political tournament and regional cooperation in China: a game theory approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 58(3), pages 597-622, May.
    4. Bar-El Raphael, 2006. "Assessing Regional Cooperation in the Middle East," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 12(1), pages 70-82, September.
    5. Gichuki, Francis & McCornick, Peter G., 2008. "International experiences of water transfers: relevance to India," IWMI Conference Proceedings 235175, International Water Management Institute.
    6. Marianna Khachaturyan & Karina Schoengold, 2019. "Applying Interconnected Game Theory to Analyze Transboundary Waters: A Case Study of the Kura–Araks Basin," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 5(01), pages 1-32, January.
    7. Bar-El Raphael, 2005. "A Typology of Regional Cooperation Projects," Peace Economics, Peace Science, and Public Policy, De Gruyter, vol. 11(2), pages 193-207, November.
    8. Sidibe, Y. & Williams, T.O., 2018. "A comparative analysis of water pricing options on two large-scale irrigation schemes in West Africa," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276017, International Association of Agricultural Economists.
    9. Miki Malul & Raphael Bar-El & Dafna Schwartz, 2010. "Patterns of Cooperation in High-Tech—Constraints, Feasibility, and Benefits: Results of a Study among Palestinians and Israelis," Conflict Management and Peace Science, Peace Science Society (International), vol. 27(1), pages 67-84, February.
    10. Kelly Tiller & Paul Jakus, 2004. "Explaining Cooperation in Municipal Solid Waste Management," Working Papers 2004-07, Utah State University, Department of Economics.
    11. Tiller, Kelly J. & Jakus, Paul M., 2005. "Applying the Miceli Model to Explain Cooperation in Municipal Solid Waste Management," Agricultural and Resource Economics Review, Cambridge University Press, vol. 34(2), pages 217-225, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. KLAUS ABBINK & MOLLER, Lars Christian & SARAH O'HARA, 2005. "The Syr Darya River Conflict: An Experimental Case Study," Discussion Papers 2005-14, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham.
    2. Mehmet Kucukmehmetoglu & Jean-Michel Guldmann, 2005. "Multi-Objective Programming for the Allocation of Trans-Boundary Water Resources - the Case of the Euphrates and Tigris," ERSA conference papers ersa05p9, European Regional Science Association.
    3. Pham Do, Kim Hang, 2014. "The role of issue linkage in managing the Mekong," WIDER Working Paper Series 164, World Institute for Development Economic Research (UNU-WIDER).
    4. Pham Do, Kim Hang & Dinar, Ariel & McKinney, Daene, 2011. "Can issue linkage help mitigate externalities and enhance cooperation," MPRA Paper 37408, University Library of Munich, Germany.
    5. Lynne, Gary D. & Saarinen, Phyllis, 1993. "Melding Private and Public Interests in Water Rights Markets," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 25(1), pages 69-83, July.
    6. Giannias, Dimitrios A. & Lekakis, Joseph N., 1997. "Policy analysis for an amicable, efficient and sustainable inter-country fresh water resource allocation," Ecological Economics, Elsevier, vol. 21(3), pages 231-242, June.
    7. Lynne, Gary D. & Casey, C. Franklin, 1998. "Regulation of technology adoption when individuals pursue multiple utility," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 27(6), pages 701-719.
    8. Bhaduri, Anik & Barbier, E., 2008. "Linking rivers in the Ganges-Brahmaputra River Basin: exploring the transboundary effects," IWMI Conference Proceedings 235176, International Water Management Institute.
    9. Hu Lu & Yuntong Wang, 2014. "Efficient trading on a network with incomplete information," Working Papers 1405, University of Windsor, Department of Economics.
    10. Wang, Yuntong, 2011. "Trading water along a river," Mathematical Social Sciences, Elsevier, vol. 61(2), pages 124-130, March.
    11. Ert, Eyal & Cohen-Amin, Shier & Dinar, Ariel, 2019. "The effect of issue linkage on cooperation in bilateral conflicts: An experimental analysis," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 79(C), pages 134-142.
    12. Gohar, Abdelaziz A. & Ward, Frank A., 2010. "Gains from expanded irrigation water trading in Egypt: An integrated basin approach," Ecological Economics, Elsevier, vol. 69(12), pages 2535-2548, October.
    13. Petra Hellegers & Ekko van Ierland, 2003. "Policy Instruments for Groundwater Management in the Netherlands," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 26(1), pages 163-172, September.
    14. Mehmet Kucukmehmetoglu, 2011. "Energy And Agricultural Policies Over The Transboundary Surface Water Resources," ERSA conference papers ersa11p1183, European Regional Science Association.
    15. Dimitrios Giannias & Joseph Lekakis, 1996. "Fresh surface water resource allocation between Bulgaria and Greece," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 8(4), pages 473-483, December.
    16. Bielsa, Jorge & Duarte, Rosa, 2001. "An economic model for water allocation in North Eastern Spain," MPRA Paper 36729, University Library of Munich, Germany.
    17. Barua, Anamika & Baruah, Tanushree & Vij, Sumit & Badhuri, Rupam, 2026. "Powering partnerships: A game theoretical perspective on Bhutan–India hydropower cooperation in the Brahmaputra River Basin," Energy Policy, Elsevier, vol. 208(C).
    18. Rafael Emmanuel Macatangay & Alistair Rieu-Clarke, 2018. "The role of valuation and bargaining in optimising transboundary watercourse treaty regimes," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 18(3), pages 409-428, June.
    19. D. Kilgour & Ariel Dinar, 2001. "Flexible Water Sharing within an International River Basin," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 18(1), pages 43-60, January.
    20. Joshua M. Duke & Ryan P. Jost, 2003. "Promoting Mediation in Property Rights Conflicts," Land Economics, University of Wisconsin Press, vol. 79(1), pages 29-37.

    More about this item

    Keywords

    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:arerjl:31355. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/nareaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.