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Emergence of Endogenous Legal Institutions: Property Rights and Community Governance in the Italian Alps'

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  • Casari, Marco

Abstract

This paper studies the legal institutions set up by communities in the Italian Alps in the 13th 19th century to manage their common pastures and forests. Over time, private-order institutions in the form of charters replaced informal arrangements sustained by the long-run interaction among villagers. Although costly to run, the charters accomplished several tasks that increased resource use efficiency. We present an empirical analysis of institutional choice of about two hundred communities and show that relative efficiency was an important factor in the selection of a governance regime.

Suggested Citation

  • Casari, Marco, 2006. "Emergence of Endogenous Legal Institutions: Property Rights and Community Governance in the Italian Alps'," Purdue University Economics Working Papers 1182, Purdue University, Department of Economics.
    • Handle: RePEc:pur:prukra:1182
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    JEL classification:

    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • K4 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior

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