Tragedy of the common canal
This paper uses laboratory experiments to investigate the effects of alternative solutions to a common-pool resource with a unidirectional flow. The focus is on the comparative economic efficiency of communications, bilateral “Coasian” bargaining, auctions and price-based allocations. All treatments improve allocative efficiency relative to a baseline environment. Communication and bilateral bargaining are not generally as effective as market allocations. An exogenously imposed, optimal fee results in the greatest efficiency gain, followed by auction allocations that determine the usage fee endogenously.
|Date of creation:||19 Feb 2010|
|Date of revision:|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Cary Deck & Cathleen Johnson, 2004. "Link bidding in laboratory networks," Review of Economic Design, Springer;Society for Economic Design, vol. 8(4), pages 359-372, 04.
- Elinor Ostrom & Roy Gardner, 1993. "Coping with Asymmetries in the Commons: Self-Governing Irrigation Systems Can Work," Journal of Economic Perspectives, American Economic Association, vol. 7(4), pages 93-112, Fall.
- Budescu, David V. & Au, Wing Tung & Chen, Xiao-Ping, 1997. "Effects of Protocol of Play and Social Orientation on Behavior in Sequential Resource Dilemmas," Organizational Behavior and Human Decision Processes, Elsevier, vol. 69(3), pages 179-193, March.
- Cardenas, Juan Camilo & Stranlund, John & Willis, Cleve, 2000.
"Local Environmental Control and Institutional Crowding-Out,"
Elsevier, vol. 28(10), pages 1719-1733, October.
- Cleve Willis & John Stranlund & Juan-Camilo Cardenas, 2000. "Local environmental control and institutional crowding-out," Artefactual Field Experiments 00028, The Field Experiments Website.
- Charles A. Holt & William Shobe & Dallas Burtraw & Karen Palmer & Jacob K. Goeree, 2007. "Auction Design for Selling CO2 Emission Allowances Under the Regional Greenhouse Gas Initiative," Reports 2007-03, Center for Economic and Policy Studies.
- Burtraw, Dallas & Goeree, Jacob & Holt, Charles A. & Myers, Erica & Palmer, Karen & Shobe, William, 2008.
"Collusion in Auctions for Emission Permits: An Experimental Analysis,"
dp-08-36, Resources For the Future.
- Dallas Burtraw & Jacob Goeree & Charles A. Holt & Erica Myers & Karen Palmer & William Shobe, 2009. "Collusion in auctions for emission permits: An experimental analysis," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 28(4), pages 672-691.
- Cardenas, Juan Camilo & Stranlund, John & Willis, Cleve, 2002.
"Economic inequality and burden-sharing in the provision of local environmental quality,"
Elsevier, vol. 40(3), pages 379-395, March.
- Cleve Willis & John Stranlund & Juan-Camilo Cardenas, 2002. "Economic inequality and burden-sharing in the provision of local environmental quality," Artefactual Field Experiments 00030, The Field Experiments Website.
- Glenn Harrison & John List, 2004.
Artefactual Field Experiments
00058, The Field Experiments Website.
- Walker, James M. & Gardner, Roy & Ostrom, Elinor, 1990. "Rent dissipation in a limited-access common-pool resource: Experimental evidence," Journal of Environmental Economics and Management, Elsevier, vol. 19(3), pages 203-211, November.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:20838. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.