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Resource Scarcity and Cooperation: Evidence from an Irrigation System in Western China

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  • Nie, Zihan
  • Yang, Xiaojun

Abstract

This study examines the impact of long-term exposure to resource scarcity on farmers’ cooperation. A historical irrigation water quota system in western China provides an opportunity to measure exogenous variation of water scarcity within an otherwise homogeneous region. We use the ratio of the arable land to the irrigation water quota of each village as our measure of water scarcity. Moreover, we use survey questions to measure collective actions in irrigation activities and we use a public goods game to measure cooperation norms in rural communities. We find that irrigation water scarcity not only induces better irrigation management practices and outcomes, but also fosters a stronger cooperation norm.

Suggested Citation

  • Nie, Zihan & Yang, Xiaojun, 2018. "Resource Scarcity and Cooperation: Evidence from an Irrigation System in Western China," EfD Discussion Paper 18-11, Environment for Development, University of Gothenburg.
    • Handle: RePEc:hhs:gunefd:2018_011
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    More about this item

    Keywords

    water scarcity; irrigation; cooperation; public goods game; China;
    All these keywords.

    JEL classification:

    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

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