IDEAS home Printed from https://ideas.repec.org/a/spr/waterr/v38y2024i2d10.1007_s11269-023-03691-x.html
   My bibliography  Save this article

Water Resources Allocation in a Transboundary River Based on a Rubinstein Bargaining Model

Author

Listed:
  • Jisi Fu

    (Nanchang University
    Nanchang University
    Jiangxi Province Institute of Water Sciences)

  • Tianwei Lu

    (Nanchang University)

  • Bin Xu

    (Hohai University
    Cooperative Innovation Center for Water Safety & Hydro Science)

  • Jieyu Li

    (Yellow River Institute of Hydraulic Research, YRCC
    Key Laboratory of Lower Yellow River Channel and Estuary Regulation MWR)

  • Junwei Zhou

    (Tianjin Research Institute for Water Transport Engineering)

  • Bin Xiong

    (Nanchang University
    Nanchang University
    Jiangxi Province Institute of Water Sciences)

  • Zhongzheng He

    (Nanchang University
    Nanchang University
    Jiangxi Province Institute of Water Sciences)

Abstract

Transboundary water conflicts research is important to the development and progress of economic society. Water resources allocation is an effective means of solving the water conflicts. In this research, a one-to-many Rubinstein bargaining water resources allocation conceptual model (OMRBCM) is proposed to solve transboundary water conflict. In the proposed model, the quotation strategy is constructed considering the minimum survival water demand, and the discount factor is determined quantitatively based on the principles of fairness and efficiency. The OMRBCM is transformed into a one-to-one Rubinstein bargaining water resources allocation model (OORBM) by introducing the virtual opponent concept. The OMRBCM considering the principles of fairness and efficiency is compared with that only considering the fairness or efficiency principle. The rationality of the quotation strategy considering the minimum survival water demand is analyzed. The Taian section of the Dawen River Basin is selected as a case study. The results reveal that (1) the virtual opponent simplifies the calculation process of the water resources allocation scheme and reduces the number of one-to-one negotiations. (2) The discount factor based on the principles of fairness and efficiency can better balance the economic and social development levels among stakeholders; (3) The quotation strategy considering the minimum survival water demand can guarantee that the basic water demands of stakeholders are met, making the result more reasonable. The proposed model and analysis results offer decision-making support for transboundary issues that do not have political boundaries and provide a new method for obtaining reasonable water resources allocation schemes.

Suggested Citation

  • Jisi Fu & Tianwei Lu & Bin Xu & Jieyu Li & Junwei Zhou & Bin Xiong & Zhongzheng He, 2024. "Water Resources Allocation in a Transboundary River Based on a Rubinstein Bargaining Model," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 38(2), pages 639-663, January.
    • Handle: RePEc:spr:waterr:v:38:y:2024:i:2:d:10.1007_s11269-023-03691-x
    DOI: 10.1007/s11269-023-03691-x
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11269-023-03691-x
    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/s11269-023-03691-x?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

    for a different version of it.

    References listed on IDEAS

    as
    1. Rubinstein, Ariel, 1982. "Perfect Equilibrium in a Bargaining Model," Econometrica, Econometric Society, vol. 50(1), pages 97-109, January.
    2. Mohammad Reza Shekofteh & Ehsan Yousefi-Khoshqalb & Kalyan R. Piratla, 2023. "An Efficient Approach for Partitioning Water Distribution Networks Using Multi-Objective Optimization and Graph Theory," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 37(13), pages 5007-5022, October.
    3. Danyang Di & Qi Shi & Zening Wu & Huiliang Wang, 2023. "Sustainable Management and Environmental Protection for Basin Water Allocation: Differential Game-based Multiobjective Programming," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 37(1), pages 1-20, January.
    4. Rowan Isaaks & Bonnie Colby, 2019. "Empirical Application of Rubinstein Bargaining Model in Western U.S. Water Transactions," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 6(01), pages 1-25, September.
    5. Aaron T. Wolf, 1999. "Criteria for equitable allocations: the heart of international water conflict," Natural Resources Forum, Blackwell Publishing, vol. 23(1), pages 3-30, February.
    6. Mehmet Kucukmehmetoglu & Jean-Michel Guldmann, 2004. "International Water Resources Allocation and Conflicts: The Case of the Euphrates and Tigris," Environment and Planning A, , vol. 36(5), pages 783-801, May.
    7. Dagmawi Mulugeta Degefu & Weijun He & Liang Yuan & Jian Hua Zhao, 2016. "Water Allocation in Transboundary River Basins under Water Scarcity: a Cooperative Bargaining Approach," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 30(12), pages 4451-4466, September.
    8. Mojtaba Sadegh & Reza Kerachian, 2011. "Water Resources Allocation Using Solution Concepts of Fuzzy Cooperative Games: Fuzzy Least Core and Fuzzy Weak Least Core," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 25(10), pages 2543-2573, August.
    9. Shaked, Avner & Sutton, John, 1984. "Involuntary Unemployment as a Perfect Equilibrium in a Bargaining Model," Econometrica, Econometric Society, vol. 52(6), pages 1351-1364, November.
    10. Xiufen Gu & Lailei Gu & Dayong Wang & Sajad Jamshidi, 2023. "Resolving Trans-Boundary Water Conflicts: Third-Party Mediation Using an Inverse Approach of GMCR Under Incomplete Preference Environments," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 37(15), pages 6071-6088, December.
    Full references (including those not matched with items on IDEAS)

    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. Manzini, Paola & Mariotti, Marco, 2005. "Alliances and negotiations," Journal of Economic Theory, Elsevier, vol. 121(1), pages 128-141, March.
    2. Américo Mendes, 2005. "A Game Theoretical Model of Land Contract Choice," Game Theory and Information 0503001, University Library of Munich, Germany.
    3. Agnieszka Rusinowska & Ahmet Ozkardas, 2015. "On equilibrium payoffs in wage bargaining with discount rates varying in time," Economic Theory Bulletin, Springer;Society for the Advancement of Economic Theory (SAET), vol. 3(2), pages 181-199, October.
    4. Qian, Dong & Guo, Ju’e, 2014. "Research on the energy-saving and revenue sharing strategy of ESCOs under the uncertainty of the value of Energy Performance Contracting Projects," Energy Policy, Elsevier, vol. 73(C), pages 710-721.
    5. Send, Jonas & Serena, Marco, 2022. "An empirical analysis of insistent bargaining," Journal of Economic Psychology, Elsevier, vol. 90(C).
    6. Christian Ewerhart, 2006. "The Effect of Sunk Costs on the Outcome of Alternating-Offers Bargaining Between Inequity-Averse Agents," Schmalenbach Business Review (sbr), LMU Munich School of Management, vol. 58(2), pages 184-203, April.
    7. Quan Wen, 2002. "Repeated Games with Asynchronous Moves," Vanderbilt University Department of Economics Working Papers 0204, Vanderbilt University Department of Economics.
    8. Zhang, Meng & Kong, Zhaojun, 2022. "A multi-attribute double auction and bargaining model for emergency material procurement," International Journal of Production Economics, Elsevier, vol. 254(C).
    9. Houba, Harold & Wen, Quan, 2014. "Backward induction and unacceptable offers," Journal of Mathematical Economics, Elsevier, vol. 54(C), pages 151-156.
    10. Van Damme, Eric & Selten, Reinhard & Winter, Eyal, 1990. "Alternating bid bargaining with a smallest money unit," Games and Economic Behavior, Elsevier, vol. 2(2), pages 188-201, June.
    11. Daron Acemoglu, 1999. "Changes in Unemployment and Wage Inequality: An Alternative Theory and Some Evidence," American Economic Review, American Economic Association, vol. 89(5), pages 1259-1278, December.
    12. Britz, V., 2010. "Optimal value commitment in bilateral bargaining," Research Memorandum 056, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
    13. Ana Mauleon & Vincent Vannetelbosch, 2005. "Strategic union delegation and strike activity," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 38(1), pages 149-173, February.
    14. Vicente Calabuig Alcantara, 1997. "Ineficiencias en las negociaciones entre dos agentes completamente informados," Working Papers. Serie EC 1997-03, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    15. Björn Brügemann & Pieter Gautier & Guido Menzio, 2019. "Intra Firm Bargaining and Shapley Values," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 86(2), pages 564-592.
    16. James S. Costain, 1998. "On the quantitative importance of wage bargaining models," Economics Working Papers 262, Department of Economics and Business, Universitat Pompeu Fabra.
    17. Pitchford, Rohan, 1998. "Moral hazard and limited liability: The real effects of contract bargaining," Economics Letters, Elsevier, vol. 61(2), pages 251-259, November.
    18. Yu, Jing & Xu, Bin, 2011. "The game analyses to price the target enterprise of merger and acquisition based on the perspective of real options under stochastic surroundings," Economic Modelling, Elsevier, vol. 28(4), pages 1587-1594, July.
    19. Bulow, Jeremy & Rogoff, Kenneth, 1989. "A Constant Recontracting Model of Sovereign Debt," Journal of Political Economy, University of Chicago Press, vol. 97(1), pages 155-178, February.
    20. Manuel A. Utset, 2023. "Time-Inconsistent Bargaining and Cross-Commitments," Games, MDPI, vol. 14(3), pages 1-21, April.

    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:spr:waterr:v:38:y:2024:i:2:d:10.1007_s11269-023-03691-x. 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.