IDEAS home Printed from https://ideas.repec.org/a/kap/enreec/v72y2019i4d10.1007_s10640-018-0238-8.html
   My bibliography  Save this article

Cooperative Management of Invasive Species: A Dynamic Nash Bargaining Approach

Author

Listed:
  • Kelly M. Cobourn

    (Virginia Tech)

  • Gregory S. Amacher

    (Virginia Tech)

  • Robert G. Haight

    (USDA Forest Service Northern Research Station)

Abstract

We use a Nash bargaining framework to examine scope for bargaining in invasive species problems where spread depends on the employment of costly controls. Municipalities bargain over a transfer payment that slows spread but requires an infested municipality to forgo nonmarket benefits from the host species. We find that when the uninfested municipality has a relative bargaining power advantage, bargaining may attain the first-best solution. However, in many cases a short-term bargaining agreement is unlikely to succeed, which suggests a role for higher levels of government to facilitate long-term agreements even when the details are left to municipalities to negotiate.

Suggested Citation

  • Kelly M. Cobourn & Gregory S. Amacher & Robert G. Haight, 2019. "Cooperative Management of Invasive Species: A Dynamic Nash Bargaining Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 72(4), pages 1041-1068, April.
  • Handle: RePEc:kap:enreec:v:72:y:2019:i:4:d:10.1007_s10640-018-0238-8
    DOI: 10.1007/s10640-018-0238-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10640-018-0238-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10640-018-0238-8?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. James E. Wilen, 2007. "Economics of Spatial-Dynamic Processes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(5), pages 1134-1144.
    2. Cobourn, Kelly M. & Burrack, Hannah J. & Goodhue, Rachael E. & Williams, Jeffrey C. & Zalom, Frank G., 2011. "Implications of simultaneity in a physical damage function," Journal of Environmental Economics and Management, Elsevier, vol. 62(2), pages 278-289, September.
    3. Liu, Yanxu & Sims, Charles, 2016. "Spatial-dynamic externalities and coordination in invasive species control," Resource and Energy Economics, Elsevier, vol. 44(C), pages 23-38.
    4. Mazzanti, Massimiliano, 2001. "The role of economics in global management of whales: re-forming or re-founding IWC?," Ecological Economics, Elsevier, vol. 36(2), pages 205-221, February.
    5. Erkki Koskela & Ronnie Schöb, 2002. "Alleviating Unemployment: The Case for Green Tax Reforms," Chapters, in: Lawrence H. Goulder (ed.), Environmental Policy Making in Economies with Prior Tax Distortions, chapter 20, pages 355-378, Edward Elgar Publishing.
    6. Frederick Ploeg & Aart Zeeuw, 1992. "International aspects of pollution control," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 2(2), pages 117-139, March.
    7. Calvo, Emilio & Rubio, Santiago J., 2013. "Dynamic Models of International Environmental Agreements: A Differential Game Approach," International Review of Environmental and Resource Economics, now publishers, vol. 6(4), pages 289-339, April.
    8. Rebecca S. Epanchin-Niell & James E. Wilen, 2015. "Individual and Cooperative Management of Invasive Species in Human-mediated Landscapes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(1), pages 180-198.
    9. Sims, Charles & Aadland, David & Finnoff, David, 2010. "A dynamic bioeconomic analysis of mountain pine beetle epidemics," Journal of Economic Dynamics and Control, Elsevier, vol. 34(12), pages 2407-2419, December.
    10. Mark Gertler & Antonella Trigari, 2009. "Unemployment Fluctuations with Staggered Nash Wage Bargaining," Journal of Political Economy, University of Chicago Press, vol. 117(1), pages 38-86, February.
    11. Frisvold, George B. & Caswell, Margriet F., 2000. "Transboundary water management: Game-theoretic lessons for projects on the US-Mexico border," Agricultural Economics, Blackwell, vol. 24(1), pages 101-111, December.
    12. Olson, Lars J., 2006. "The Economics of Terrestrial Invasive Species: A Review of the Literature," Agricultural and Resource Economics Review, Cambridge University Press, vol. 35(1), pages 178-194, April.
    13. Amacher, Gregory S. & Ollikainen, Markku & Koskela, Erkki, 2012. "Corruption and forest concessions," Journal of Environmental Economics and Management, Elsevier, vol. 63(1), pages 92-104.
    14. Martin J. Osborne & Ariel Rubinstein, 1994. "A Course in Game Theory," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262650401, December.
    15. Epanchin-Niell, Rebecca S. & Wilen, James E., 2012. "Optimal spatial control of biological invasions," Journal of Environmental Economics and Management, Elsevier, vol. 63(2), pages 260-270.
    16. Amacher, Gregory S. & Malik, Arun S., 1998. "Instrument Choice When Regulators and Firms Bargain," Journal of Environmental Economics and Management, Elsevier, vol. 35(3), pages 225-241, May.
    17. Gordon R. Munro, 1979. "The Optimal Management of Transboundary Renewable Resources," Canadian Journal of Economics, Canadian Economics Association, vol. 12(3), pages 355-376, August.
    18. Nash, John, 1950. "The Bargaining Problem," Econometrica, Econometric Society, vol. 18(2), pages 155-162, April.
    19. Sander, Heather & Polasky, Stephen & Haight, Robert G., 2010. "The value of urban tree cover: A hedonic property price model in Ramsey and Dakota Counties, Minnesota, USA," Ecological Economics, Elsevier, vol. 69(8), pages 1646-1656, June.
    20. Feder, G. & Regev, U., 1975. "Biological interactions and environmental effects in the economics of pest control," Journal of Environmental Economics and Management, Elsevier, vol. 2(2), pages 75-91, December.
    21. Bhat, Mahadev G. & Huffaker, Ray G., 2007. "Management of a transboundary wildlife population: A self-enforcing cooperative agreement with renegotiation and variable transfer payments," Journal of Environmental Economics and Management, Elsevier, vol. 53(1), pages 54-67, January.
    22. Kovacs, Kent F. & Haight, Robert G. & Mercader, Rodrigo J. & McCullough, Deborah G., 2014. "A bioeconomic analysis of an emerald ash borer invasion of an urban forest with multiple jurisdictions," Resource and Energy Economics, Elsevier, vol. 36(1), pages 270-289.
    23. David Aadland & Charles Sims & David Finnoff, 2015. "Spatial Dynamics of Optimal Management in Bioeconomic Systems," Computational Economics, Springer;Society for Computational Economics, vol. 45(4), pages 545-577, April.
    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. Chelsea, Chelsea & Espinola-Arredondo, Ana, 2022. "Fungicide Resistance and Misinformation: A Game Theoretic Approach," Working Papers 2020-4, School of Economic Sciences, Washington State University, revised 06 Feb 2021.
    2. Andrew R. Tilman & Robert G. Haight, 2023. "Public policy for management of forest pests within an ownership mosaic," Papers 2312.05403, arXiv.org.
    3. Pardini, Chelsea A. & Espinola-Arredondo, Ana, 2020. "Facing Fungicide Resistance in Grape Production: A Game Theoretic Approach," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304309, Agricultural and Applied Economics Association.
    4. Halbritter, Andreas & Deegen, Peter & Susaeta, Andres, 2020. "An economic analysis of thinnings and rotation lengths in the presence of natural risks in even-aged forest stands," Forest Policy and Economics, Elsevier, vol. 118(C).
    5. Chelsea A. Pardini & Ana Espínola‐Arredondo, 2023. "Fungicide resistance and misinformation: A game theoretic approach," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 71(2), pages 171-201, June.
    6. Sean F. Ellis & Mark Masters & Kent D. Messer & Collin Weigel & Paul J. Ferraro, 2021. "The Problem of Feral Hogs and the Challenges of Providing a Weak‐Link Public Good," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 985-1002, September.

    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. Siriwardena, Shyamani D. & Cobourn, Kelly M. & Amacher, Gregory S. & Haight, Robert G., 2018. "Cooperative bargaining to manage invasive species in jurisdictions with public and private lands," Journal of Forest Economics, Elsevier, vol. 32(C), pages 72-83.
    2. İ. Esra Büyüktahtakın & Robert G. Haight, 2018. "A review of operations research models in invasive species management: state of the art, challenges, and future directions," Annals of Operations Research, Springer, vol. 271(2), pages 357-403, December.
    3. Shady S. Atallah & Miguel I. Gómez & Jon M. Conrad, 2017. "Specification of Spatial-Dynamic Externalities and Implications for Strategic Behavior in Disease Control," Land Economics, University of Wisconsin Press, vol. 93(2), pages 209-229.
    4. Grogan, Kelly A. & Chakravarty, Shourish, 2017. "The Feasibility of Area-wide Pest Management under Heterogeneity and Uncertainty: The Case of Citrus Health Management Areas," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259188, Agricultural and Applied Economics Association.
    5. Liu, Yanxu & Sims, Charles, 2016. "Spatial-dynamic externalities and coordination in invasive species control," Resource and Energy Economics, Elsevier, vol. 44(C), pages 23-38.
    6. Kovacs, Kent F. & Haight, Robert G. & Mercader, Rodrigo J. & McCullough, Deborah G., 2014. "A bioeconomic analysis of an emerald ash borer invasion of an urban forest with multiple jurisdictions," Resource and Energy Economics, Elsevier, vol. 36(1), pages 270-289.
    7. Charles Sims & David Finnoff & Jason F. Shogren, 2018. "Taking One for the Team: Is Collective Action More Responsive to Ecological Change?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 70(3), pages 589-615, July.
    8. Andrew R. Tilman & Robert G. Haight, 2023. "Public policy for management of forest pests within an ownership mosaic," Papers 2312.05403, arXiv.org.
    9. Costello, Christopher & Quérou, Nicolas & Tomini, Agnes, 2017. "Private eradication of mobile public bads," European Economic Review, Elsevier, vol. 94(C), pages 23-44.
    10. Kıbış, Eyyüb Y. & Büyüktahtakın, İ. Esra, 2017. "Optimizing invasive species management: A mixed-integer linear programming approach," European Journal of Operational Research, Elsevier, vol. 259(1), pages 308-321.
    11. Meyer, Stefan & Santos, Paulo & Kousonsavath, Chitpasong, 2022. "Using contests to promote coordinated control of invasive species: An experimental evaluation," Journal of Environmental Economics and Management, Elsevier, vol. 113(C).
    12. Kim Meyer Hall & Heidi J. Albers & Majid Alkaee Taleghan & Thomas G. Dietterich, 2018. "Optimal Spatial-Dynamic Management of Stochastic Species Invasions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 70(2), pages 403-427, June.
    13. Benjamin A. Jones & John Fleck, 2018. "Urban Trees and Water Use in Arid Climates: Insights from an Integrated Bioeconomic-Health Model," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 4(04), pages 1-38, October.
    14. Kompas, Tom & Ha, Pham Van & Nguyen, Hoa Thi Minh & East, Iain & Roche, Sharon & Garner, Graeme, 2017. "Optimal surveillance against foot-and-mouth disease: the case of bulk milk testing in Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 61(4), October.
    15. David Aadland & Charles Sims & David Finnoff, 2015. "Spatial Dynamics of Optimal Management in Bioeconomic Systems," Computational Economics, Springer;Society for Computational Economics, vol. 45(4), pages 545-577, April.
    16. Melstrom, Richard T., 2014. "Managing apparent competition between the feral pigs and native foxes of Santa Cruz Island," Ecological Economics, Elsevier, vol. 107(C), pages 157-162.
    17. Gabriel Pardo & Miguel I. Gómez & Alicia Cirujeda & Yolanda Martínez, 2020. "Economic Costs of Sharing the Harvester in the Control of an Invasive Weed," Sustainability, MDPI, vol. 12(21), pages 1-20, October.
    18. Gray, Dennis & Fan, Xiaoli, 2020. "Optimal Control of Mountain Pine Beetle Under Different Climate Scenarios: A Spatiotemporal Bioeconomic Model," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304436, Agricultural and Applied Economics Association.
    19. Atallah, Shadi S., 2017. "The bio-economics of managing invasive plant externalities in forests with heterogeneous landowner preferences," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258540, Agricultural and Applied Economics Association.
    20. Cobourn, Kelly M. & Amacher, Gregory S. & Elbakidze, Levan, 2015. "Bargaining for recharge: an analysis of cooperating and conjunctive surface water-groundwater management," 2016 Allied Social Sciences Association (ASSA) Annual Meeting, January 3-5, 2016, San Francisco, California 212843, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    Bioeconomics; Biological invasions; Emerald ash borer; Negotiation; Optimal control; Pest spread;
    All these keywords.

    JEL classification:

    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games

    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:kap:enreec:v:72:y:2019:i:4:d:10.1007_s10640-018-0238-8. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.