IDEAS home Printed from https://ideas.repec.org/p/hal/journl/halshs-03038871.html

Policy effectiveness in spatial resource wars: A two-region model

Author

Listed:
  • Giorgio Fabbri

    (GAEL - Laboratoire d'Economie Appliquée de Grenoble - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - UGA - Université Grenoble Alpes - Grenoble INP - Institut polytechnique de Grenoble - Grenoble Institute of Technology - UGA - Université Grenoble Alpes)

  • Silvia Faggian

    (University of Ca’ Foscari [Venice, Italy])

  • Giuseppe Freni

    (PARTHENOPE - Università degli Studi di Napoli “Parthenope” = University of Naples)

Abstract

We develop a spatial resource model in continuous time in which two agents/players strategically exploit a mobile resource in a two-region setup. To counteract the overexploitation of the resource (the tragedy of commons) that occurs when players are free to choose where to fish/hunt/extract/harvest, the regulator can establish a series of spatially structured policies. We compare the equilibria in the case of a common resource with those that emerge when the regulator either creates a natural reserve, or assigns Territorial User Rights to the players. We show that, when the discount rate is close to its "critical value", i.e. when technological and preference parameters dictate a low harvesting intensity/effort, the policies are ineffective in promoting the conservation of the resource and, in addition, they lead to a lower payoff for at least one of the players. Conversely, in a context of harsher harvesting intensity, the intervention can help to safeguard the resource, preventing extinction while also improving the welfare of both players.

Suggested Citation

  • Giorgio Fabbri & Silvia Faggian & Giuseppe Freni, 2020. "Policy effectiveness in spatial resource wars: A two-region model," Post-Print halshs-03038871, HAL.
    • Handle: RePEc:hal:journl:halshs-03038871
    DOI: 10.1016/j.jedc.2019.103818
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-03038871v1
    as

    Download full text from publisher

    File URL: https://shs.hal.science/halshs-03038871v1/document
    Download Restriction: no
    File URL: https://libkey.io/10.1016/j.jedc.2019.103818?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
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Giorgio Fabbri & Silvia Faggian & Giuseppe Freni, 2022. "On competition for spatially distributed resources in networks: an extended version," Working Papers 2022:03, Department of Economics, University of Venice "Ca' Foscari".
    2. Fabbri, Giorgio & Faggian, Silvia & Freni, Giuseppe, 2024. "On competition for spatially distributed resources in networks," Theoretical Economics, Econometric Society, vol. 19(2), May.
    3. Filippo de Feo & Giorgio Fabbri & Silvia Faggian & Giuseppe Freni, 2025. "Symmetric Equilibria in Spatially Distributed Extraction Games with Nonlinear Growth," Working Papers hal-05395762, HAL.
    4. Bediako, Kwabena & Nkuiya, Bruno, 2024. "Learning and uncertainty in spatial resource management," Resource and Energy Economics, Elsevier, vol. 78(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:hal:journl:halshs-03038871. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    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.