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Formation of Social Capital for Common Pool Resource Management

  • Gerlie T. Tatlonghari


    (International Rice Research Institute, Philippines)

  • Zenaida M. Sumalde


    (University of the Philippines Los BaƱos, Philippine)

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    A standard optimal investment model is used to analyze farmers' decision to accumulate social capital in terms of participating in collective activities for irrigation management. Several predictions borne out by the data are presented in this study. Social capital investment in small irrigation groups (1) decreases when the farmer's field is located at the downstream area where water is scarce; (2) increases when farmers have larger ricefields; (3) decreases when farmers pay the irrigation service dues; and (4) increases when the farmer belongs to a heterogeneous group which facilitates collective action when pooling resources to reduce the risks involved in rice farming. Moreover, the farmers' social capital investment in other small irrigation groups in the irrigation system 1) increases when farmers have larger rice-growing areas; 2) increases when there is a high level of trust among the farmers; but 3) declines as the opportunity cost of time increases due to coordination and participation in collective activities with farmers from other areas of the system.

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    Article provided by Southeast Asian Regional Center for Graduate Study and Research in Agriculture in its journal Asian Journal of Agriculture and Development.

    Volume (Year): 5 (2008)
    Issue (Month): 2 (December)
    Pages: 21-40

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    Handle: RePEc:sag:seajad:v:5:y:2008:i:2:p:21-40
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    1. Castillo, Daniel & Saysel, Ali Kerem, 2005. "Simulation of common pool resource field experiments: a behavioral model of collective action," Ecological Economics, Elsevier, vol. 55(3), pages 420-436, November.
    2. Edward L. Glaeser & David Laibson & Bruce Sacerdote, 2002. "An Economic Approach to Social Capital," Economic Journal, Royal Economic Society, vol. 112(483), pages 437-458, November.
    3. Samuel Bowles & Herbert Gintis, 2001. "Social Capital and Community Governance," Working Papers 01-01-003, Santa Fe Institute.
    4. Baland, Jean-Marie & Platteau, Jean-Philippe, 1999. "The Ambiguous Impact of Inequality on Local Resource Management," World Development, Elsevier, vol. 27(5), pages 773-788, May.
    5. Meinzen-Dick, Ruth & Raju, K. V. & Gulati, Ashok, 2002. "What Affects Organization and Collective Action for Managing Resources? Evidence from Canal Irrigation Systems in India," World Development, Elsevier, vol. 30(4), pages 649-666, April.
    6. Evans, Peter, 1996. "Government action, social capital and development: Reviewing the evidence on synergy," World Development, Elsevier, vol. 24(6), pages 1119-1132, June.
    7. Uphoff, Norman & Wijayaratna, C. M., 2000. "Demonstrated Benefits from Social Capital: The Productivity of Farmer Organizations in Gal Oya, Sri Lanka," World Development, Elsevier, vol. 28(11), pages 1875-1890, November.
    8. Masako Fujiie & Yujiro Hayami & Masao Kikuchi, 2005. "The conditions of collective action for local commons management: the case of irrigation in the Philippines," Agricultural Economics, International Association of Agricultural Economists, vol. 33(2), pages 179-189, 09.
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