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Centralized and Decentralized Management of Local Common Pool Resources in the Developing World: Experimental Evidence from Fishing Communities in Colombia

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  • Maria Alejandra Velez

    () (Department of Resource Economics, University of Massachusetts Amherst)

  • James J. Murphy

    () (Department of Resource Economics, University of Massachusetts Amherst)

  • John K. Stranlund

    () (Department of Resource Economics, University of Massachusetts Amherst)

Abstract

This paper uses experimental data to test for a complementary relationship between formal regulations imposed on a community to conserve a local natural resource and nonbinding verbal agreements to do the same. Our experiments were conducted in the field in three regions of Colombia. Each group of five subjects played 10 rounds of an open access common pool resource game, and 10 additional rounds under one of five institutions— communication alone, two external regulations that differed by the level of enforcement, and communication combined with each of the two regulations. Our results suggest that the hypothesis of a complementary relationship between communication and external regulation is supported for some combinations of regions and regulations, but cannot be supported in general. We therefore conclude that the determination of whether formal regulations and informal communication are complementary must be made on a community-by-community basis.

Suggested Citation

  • Maria Alejandra Velez & James J. Murphy & John K. Stranlund, 2006. "Centralized and Decentralized Management of Local Common Pool Resources in the Developing World: Experimental Evidence from Fishing Communities in Colombia," Working Papers 2006-3, University of Massachusetts Amherst, Department of Resource Economics.
  • Handle: RePEc:dre:wpaper:2006-3
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    Cited by:

    1. Maria Claudia Lopez & James J. Murphy & John M. Spraggon & John K. Stranlund, 2013. "Does government regulation complement existing community efforts to support cooperation? Evidence from field experiments in Colombia," Chapters,in: Handbook on Experimental Economics and the Environment, chapter 12, pages 346-366 Edward Elgar Publishing.
    2. Kenta Tanaka & Keisaku Higashida & Arvin Vista & Anton Setyo Nugroho & Budi Muhamad Ruslan, 2016. "Do resource depletion experiences affect social cooperative preferences? Analysis using field experimental data on fishers in the Philippines and Indonesia," Discussion Paper Series 143, School of Economics, Kwansei Gakuin University, revised Jun 2016.
    3. Juan-Camilo Cardenas & Marco Janssen & Francois Bousquet, 2013. "Dynamics of rules and resources: three new field experiments on water, forests and fisheries," Chapters,in: Handbook on Experimental Economics and the Environment, chapter 11, pages 319-345 Edward Elgar Publishing.
    4. Oscar Santis & Carlos Chávez, 2014. "Extraction of natural resources in contexts of abundance and scarcity: An experimental analysis on non-compliance with quotas in management and exploitation areas of benthic resources in central-south," Estudios de Economia, University of Chile, Department of Economics, vol. 41(1 Year 20), pages 89-123, June.
    5. Röttgers, Dirk, 2016. "Conditional cooperation, context and why strong rules work — A Namibian common-pool resource experiment," Ecological Economics, Elsevier, vol. 129(C), pages 21-31.
    6. Moreno-Sanchez, Rocio del Pilar & Maldonado, Jorge Higinio, 2009. "Can Co-Management Improve the Governance of A Common- Pool Resource? Lessons From A Framed Field Experiment in A Marine Protected Area in the Colombian Caribbean," Documentos CEDE Series 60731, Universidad de Los Andes, Economics Department.
    7. del Pilar Moreno-Sánchez, Rocío & Maldonado, Jorge Higinio, 2010. "Evaluating the role of co-management in improving governance of marine protected areas: An experimental approach in the Colombian Caribbean," Ecological Economics, Elsevier, vol. 69(12), pages 2557-2567, October.
    8. Midler, Estelle & Pascual, Unai & Drucker, Adam G. & Narloch, Ulf & Soto, José Luis, 2015. "Unraveling the effects of payments for ecosystem services on motivations for collective action," Ecological Economics, Elsevier, vol. 120(C), pages 394-405.
    9. Klaus Moeltner & James J. Murphy & John K. Stranlund & Maria Alejandra Velez, 2013. "Institutional heterogeneity in social dilemma games: a Bayesian examination," Chapters,in: Handbook on Experimental Economics and the Environment, chapter 2, pages 67-88 Edward Elgar Publishing.
    10. Klaus Moeltner & James J. Murphy & John K. Stranlund & Maria Alejandra Velez, 2007. "Processing Data from Social Dilemma Experiments: A Bayesian Comparison of Parametric Estimators," Working Papers 07-013, University of Nevada, Reno, Department of Economics;University of Nevada, Reno , Department of Resource Economics.
    11. repec:eee:jeeman:v:86:y:2017:i:c:p:48-67 is not listed on IDEAS
    12. Rode, Julian & Gómez-Baggethun, Erik & Krause, Torsten, 2015. "Motivation crowding by economic incentives in conservation policy: A review of the empirical evidence," Ecological Economics, Elsevier, vol. 117(C), pages 270-282.
    13. Grillos, Tara, 2017. "Economic vs non-material incentives for participation in an in-kind payments for ecosystem services program in Bolivia," Ecological Economics, Elsevier, vol. 131(C), pages 178-190.
    14. Velez, Maria Alejandra & Stranlund, John K. & Murphy, James J., 2012. "Preferences for government enforcement of a common pool harvest quota: Theory and experimental evidence from fishing communities in Colombia," Ecological Economics, Elsevier, vol. 77(C), pages 185-192.
    15. Narloch, Ulf & Pascual, Unai & Drucker, Adam G., 2012. "Collective Action Dynamics under External Rewards: Experimental Insights from Andean Farming Communities," World Development, Elsevier, vol. 40(10), pages 2096-2107.
    16. Junichi Ito, 2012. "Collective Action for Local Commons Management in Rural Yunnan, China: Empirical Evidence and Hypotheses Using Evolutionary Game Theory," Land Economics, University of Wisconsin Press, vol. 88(1), pages 181-200.
    17. Figureau, A.-G. & Montginoul, M. & Rinaudo, J.-D., 2015. "Policy instruments for decentralized management of agricultural groundwater abstraction: A participatory evaluation," Ecological Economics, Elsevier, vol. 119(C), pages 147-157.
    18. Santis, Oscar & Chávez, Carlos, 2015. "Quota compliance in TURFs: An experimental analysis on complementarities of formal and informal enforcement with changes in abundance," Ecological Economics, Elsevier, vol. 120(C), pages 440-450.
    19. Neil Buckley & Stuart Mestelman & R. Andrew Muller & Stephen Schott & Jingjing Zhang, 2017. "Do the Number of Appropriators from the Commons Matter in Controlled Laboratory Environments?," Department of Economics Working Papers 2017-09, McMaster University.
    20. Travers, Henry & Clements, Tom & Keane, Aidan & Milner-Gulland, E.J., 2011. "Incentives for cooperation: The effects of institutional controls on common pool resource extraction in Cambodia," Ecological Economics, Elsevier, vol. 71(C), pages 151-161.
    21. Gallier, Carlo & Langbein, Jörg & Vance, Colin, 2016. "That's my turf: An experimental analysis of territorial use rights for fisheries in Indonesia," Ruhr Economic Papers 651, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    22. Blanco, Esther & Lopez, Maria Claudia & Villamayor-Tomas, Sergio, 2015. "Exogenous degradation in the commons: Field experimental evidence," Ecological Economics, Elsevier, vol. 120(C), pages 430-439.
    23. Anderies, John M. & Janssen, Marco A. & Bousquet, François & Cardenas, Juan-Camilo & Castillo, Daniel & Lopez, Maria-Claudio & Tobias, Robert & Vollan, Björn & Wutich, Amber, 2011. "The challenge of understanding decisions in experimental studies of common pool resource governance," Ecological Economics, Elsevier, vol. 70(9), pages 1571-1579, July.

    More about this item

    Keywords

    common pool resources; experiments; institutions; communication; regulation;

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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