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A Framed Field Experiment on Collective Enforcement Mechanisms with Ethiopian Farmers

  • Reichhuber, Anke
  • Camacho Cuena, Eva
  • Requate, Till

We present the results of a framed field experiment with Ethiopian farmers that use the mountain rain forest as a common pool resource. Harvesting honey causes damage to the forest, and open access leads to overharvesting. We test different mechanisms for mitigating excessive harvesting: a collective tax with low and high tax rates, and a tax/subsidy system. We find that the high-tax scheme works best in inducing the desired level of harvesting while the tax-subsidy scheme may trigger tacit collusion. Via a panel data analysis we further investigate which variables influence the subjects? decisions during the treatments.

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Paper provided by Christian-Albrechts-University of Kiel, Department of Economics in its series Economics Working Papers with number 2008,11.

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Date of creation: 2008
Date of revision:
Handle: RePEc:zbw:cauewp:7372
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  1. Kreps, David M. & Milgrom, Paul & Roberts, John & Wilson, Robert, 1982. "Rational cooperation in the finitely repeated prisoners' dilemma," Journal of Economic Theory, Elsevier, vol. 27(2), pages 245-252, August.
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  4. Francois Cochard & Anthony Ziegelmeyer & Kene Boun My, 2005. "The Regulation of Nonpoint Emissions in the Laboratory: A Stress Test of the Ambient Tax Mechanism," Papers on Strategic Interaction 2005-37, Max Planck Institute of Economics, Strategic Interaction Group.
  5. Christian A. Vossler & Gregory L. Poe & William D. Schulze & Kathleen Segerson, 2006. "Communication and Incentive Mechanisms Based on Group Performance: An Experimental Study of Nonpoint Pollution Control," Economic Inquiry, Western Economic Association International, vol. 44(4), pages 599-613, October.
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  7. Velez, Maria Alejandra & Stranlund, John K. & Murphy, James J., 2009. "What motivates common pool resource users? Experimental evidence from the field," Journal of Economic Behavior & Organization, Elsevier, vol. 70(3), pages 485-497, June.
  8. Cleve Willis & John Stranlund & Juan-Camilo Cardenas, 2000. "Local environmental control and institutional crowding-out," Artefactual Field Experiments 00028, The Field Experiments Website.
  9. François Cochard & Marc Willinger & Anastasios Xepapadeas, 2005. "Efficiency of Nonpoint Source Pollution Instruments: An Experimental Study," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 30(4), pages 393-422, 04.
  10. John Spraggon, 1998. "Exogenous Targeting Instruments as a Solution to Group Moral Hazards," Department of Economics Working Papers 1998-01, McMaster University.
  11. Francisco Alpízar & Till Requate & Albert Schram, 2004. "Collective versus Random Fining: An Experimental Study on Controlling Ambient Pollution," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 29(2), pages 231-252, October.
  12. Camacho Cuena, Eva & Requate, Till, 2004. "Collective and Random Fining versus Tax/Subsidy - Schemes to Regulate Non-Point Pollution : An Experimental Study," Economics Working Papers 2004,10, Christian-Albrechts-University of Kiel, Department of Economics.
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