Regulation through Collaboration: Final Authority and Information Symmetry in Environmental Coasean Bargaining
Many people see collaborative decision-making as the next wave in environmental regulation. This paper examines how two elements within collaborative processes--final authority over stakeholder negotiations and information symmetry through mandated information sharing of relative payoffs--affect the efficiency and the distribution of wealth. Using a Coasean bargaining experiment, we find final authority for stakeholders is critical for efficient negotiations. Efficiency drops by two-thirds given a 10 percent risk to the final authority given symmetric information. Efficiency declines further once asymmetric information is considered. Final authority appears to be a necessary but not sufficient condition for efficient agreements. Copyright 2003 by Kluwer Academic Publishers
When requesting a correction, please mention this item's handle: RePEc:kap:regeco:v:24:y:2003:i:1:p:63-89. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Guenther Eichhorn)or (Christopher F. Baum)
If references are entirely missing, you can add them using this form.