Complex property rights and Coasean bargaining in natural resource management

ABSTRACT

This paper contributes to the debate on whether private or common property rights are better for advancing the sustainable management of natural resources. This contest between public and private ownership is often exaggerated, we claim, because in the real world, complex entitlements with varying degrees of privateness/publicness prevail. Property rights belonging to families, companies, clubs, corporations, and communities are simultaneously common to the members/shareholders and private to the entities. We call these entitlements private-common entitlements. When we acknowledge this complexity, it becomes evident that neither private nor common ownership rights are alone responsible for resource depletion. Instead, depletion is caused by freeriding or evading the payment of the full price of natural resources. This invites Coase’s solution to resource allocation. Therefore, the key problem is whether and how Coasean bargaining is employed to allocate ownership over resources threatened by depletion. We contribute to the debate by showing that Coase’s approach promotes not only economically efficient but also ecologically sustainable resource management. Often, this approach would lead to the establishment of largely private property or control rights by largely collective/public entities. We apply this theoretical framework to the development of a ski resort in Pirin Mountain, Bulgaria.     

Rights and Conflicts in the Management of Fisheries in the Lower Songkhram River Basin,Northeast Thailand

A complex, pre-existing local property rights system, characterized by overlap and conflict, comprises the local basis for managing inland fisheries in communities of the Lower Songkhram River Basin (LSRB) of Northeastern Thailand. The components, conflicts and changes of the system are analyzed for fourteen communities, focusing on the auction system for barrages, an illegal and destructive, yet tolerated, fishery. These rights, adapted to gear type, seasonality, and habitat of the LSRB fisheries, are a critical social resource and proven management system that should be legitimized. Recommendations are made for both improving general inland fisheries policy and reforming the barrage fishery.     

Closing the open sea: Development of fishery management in four Icelandic fisheries

The article outlines the development of Iceland's fishery rights and the extension of its territorial waters between the 1950s and the mid‐1970s, whereby Iceland gained exclusive control and use of the marine resources of the waters within 12, later 50, and ultimately 200 nautical miles around the island. The article concentrates on four of Iceland's main fisheries: shrimp, herring, capelin and cod. These four fisheries are discussed separately and in depth, presenting the beginnings and growth of the industry and detailing the development of management practices and the corresponding legislation and regulatory measures. Iceland's initial concern was to gain control over the marine resources surrounding the island, but once this was achieved, the focus of attention shifted to managing first the economic and soon also the ecological aspects of its tremendous resource. Informed mainly by indigenous expertise, Iceland's concern was to limit overfishing, manage its fisheries sustainably both from the economic and ecological points of view, and find the best ways to distribute the revenues from the marine harvest. The article looks at each of the four fisheries to clarify how the individual transferable quota (ITQ) system came into being, how initial quota holdings were allotted, and analyses the circumstances under which the ITQ system became the management tool of choice. For each fishery, the process of regulatory evolution was quite unique. At the same time, there is a common pattern to all the fisheries, which may be summarized as follows. Firstly, serious attempts to reform management practices only got underway when the fishery had collapsed or was close to collapse. Secondly, stakeholders invariably started the process of regulation by limiting access to the fishery. Thirdly, a variety of rules were implemented to allocate rights to participate in the fishery to additional entrants once membership had been closed. Finally, prior to the invention of the ITQ system, prices were used to manage fisheries in Iceland. It may be concluded that the management of fisheries by ITQs may be a historical accident, rather than the end point of a logical evolution.     

Policies, Regulations, and Eco-ethical Wisdom Relating to Ancient Chinese Fisheries

Marine ecosystems are in serious troubles globally, largely due to the failures of fishery resources management. To restore and conserve fishery ecosystems, we need new and effective governance systems urgently. This research focuses on fisheries management in ancient China. We found that from 5,000 years ago till early modern era, Chinese ancestors had been constantly enthusiastic about sustainable utilization of fisheries resources and natural balance of fishery development. They developed numerous rigorous policies and regulations to guide people to act on natural laws. Being detailed and scientific, the legal systems had gained gratifying enforcement, due to official efforts and folks’ voluntary participation in resource management. In-depth analyses show that people’s consciousness of ecological conservation was derived from the edification of kinds of ancient eco-ethical wisdom, such as totemism, nature worship, Zhou Yi, Taoism, Buddhism, Confucianism, Mohism, etc. All this Chinese classical wisdom have the same cores: “Nature and Man in One” spirit, frugality and “All things are equal” concept. The findings show that eco-ethical thinking is never inconsistent with social ethic systems, and it’s of great importance to give legal effect to usual ecological moral claims and eco-ethical requirements of the public in protecting the environment. The eco-ethical wisdom is efficient in assisting and urging people to fulfill humans’ obligation for nature. Finally, it’s believed that present world fisheries management will benefit a lot from all these ancient Chinese thoughts and practices. People are expected to make the most of the eco-ethical wisdom, strengthen fishery legislation and fully stimulate their voluntary participation in both marine fishery resources conservation and fishery cyclic economy.     

Closing the Incentive Gap: The Role of Public and Private Actors in Governing Indonesia's Tuna Fisheries

Indonesia is one of the world's largest tuna producing countries, yet regulatory oversight remains weak and management is poor. Incentive-based approaches are a way to improve state-based resource management, but they often require strong government regulation. In this paper, we use principal–agent theory and the notion of the ‘incentive gap’ to explore how incentives could be brought to bear in Indonesia through a combination of private and public actors. With a shared fish stock like tuna, we argue that a double principal–agent problem emerges, where information, asymmetries between various players complicate management. We focus on the problems of adverse selection and moral hazard in three different tuna fisheries in Indonesia to identify the nature of the incentive gap, and comment on the mix of public and private actors currently engaged in tuna fishery governance towards reducing the gap. The double principal–agent problem is a useful yet underutilized framework to understand the dynamics of shared stocks management. In this first application to a developing country fishery, we conclude that information asymmetries cannot be overcome without the involvement of private actors, who are increasingly becoming important in aligning regional and global objectives with those of fishers themselves.     

Design principles and common pool resource management: an institutional approach to evaluating community management in semi-arid Tanzania

This paper analyses the role of institutions in the management of common pool resources (CPRs) in semi-arid Tanzania. Common property regimes have often been considered inadequate for the management of CPRs because of the problems of excludability, but they are becoming more widely supported as the way forward to overcome the problems of resource use and degradation in developing countries. A series of design principles for long enduring common property institutions have been proposed by Ostrom, but there is concern that they are not applicable to a wide range of real life situations or that they may be specific to certain types of CPR. Here, we compare these principles to the situation prevailing in 12 villages in six districts in semi-arid Tanzania. Data on management institutions were collected through semi-structured interviews and meetings at district and village level. The combined information was used to make a qualitative assessment of the strength with which each design principle appeared to operate in the management of forest, pasture and water resources. Boundaries, conflict and negotiation in CPR management are of key importance in semi-arid regions. However, the need for flexibility in order to deal with ecological uncertainty means that many management institutions would be considered weak or absent according to the design principle approach. This supports the view that the design principles should not be used as a 'blueprint to be imposed on resource management regimes' rather that they provide a framework for investigating common property regimes with the proviso that, certainly for semi-arid regions, they may highlight where management cannot be explained by institutional theory alone.     

Fishing and Farming at Lake Chad: Overcapitalisation, Opportunities and Fisheries Management

Overcapitalisation is one way in which fishing is said to exert a negative externality on the wider economy. Resources invested in fishing could be invested more productively in other sectors of the economy. The logical solution is the shift of resources, in particular scarce capital, from fishing to more profitable sectors. This paper examines the rural economy at Lake Chad and the implications from the results of a socio-economic survey of fishing households for potential fisheries management measures, in particular those which would limit or reduce the level of resources invested in the Lake's fishery. Survey results demonstrate a close link between the farming and fishing activities of many households and suggest that the integration of fishing and farming necessitate consideration of the inter-sectoral impacts of potential fisheries management measures.     

The implications of ecosystem dynamics for fisheries management: a case study of selected fisheries in the Gulf of Paria, Trinidad

It is accepted that if fisheries resources are to remain renewable and able to sustain livelihoods, appropriate management practices must be implemented. Even while fisheries management grapples to resolve single-species issues, the biological and economic interactions among species mandate that to be effective, management techniques must be based on more interactive and aggregate-level analyses. In order to implement these techniques, the actual links, and the potential impact of these links, among the fisheries must be established. Vector autoregression (VAR) analysis has the potential to play an increasingly important role in ecosystem modelling for fisheries management. This study uses VAR analysis to demonstrate the quantitative impact of certain ecosystem changes on the productivity of the carite, honey shrimp and croaker fisheries of the Gulf of Paria, Trinidad, in the particular context of the ecosystem dynamics of trophic linkages, bycatch and multispecies fisheries. Four VAR models are constructed to investigate the extent to which these factors affect the production of the selected fisheries, and to evaluate the management implications of these linkages. The empirical analysis is further evidence that, if sustainable management of fishery resources is to be achieved, management practices based on more multi-species, ecosystem approaches must replace the traditional, single-species management techniques.     

CONFLICT ANALYSIS AND MANAGEMENT ALTERNATWE FOR THE MANAYLJNK CANAL1

ABSTRACT: The solution of a water resource allocation problem by an alternative social arrangement is presented. Classical Austrian economic theory and the “new resources economics” provide both theoretical and practical evidence to support the development of well-defined, private property rights to the water resource in question. A conflict analysis demonstrates that management of the Manayunk Canal by a firm would reconcile existing confrontations through compromise use of the water resource. Benefit and cost calculations show that a compromise among industrial and recreational interests, currently competing in the political arena, would increase social benefits.     

Environmental change and fishery management in the northern Persian Gulf

Approximately 52% of the 380,000 tons of fish landings in Iran come from the northern Persian Gulf, with a total of 108,000 fishermen and 8900 fishing vessels (2003 data). The fishery in the region is very important for the local economy, but the major problems facing the Iranian fisheries are an uncertain availability of fish and over-fishing. The Persian Gulf is a sensitive marine ecosystem. The Gulf is a partially enclosed sea with an average depth of 35 metres and replacement of waters take some three to five years. Environmental factors have a major effect on fish stocks and fisheries in such a sensitive ecosystem. This study examines the influence of environmental changes in water temperature, rainfall, wind and sea level pressure on fish stocks in the northern Persian Gulf and estimates the maximum sustainable yields for fisheries management. Multivariate data and surplus production bio-economic models with environmental parameters are used to determine optimal harvest and forecasting. The study found that rainfall, water temperature and wind had significant positive effects whereas sea level pressure had a negative effect on the fisheries in the northern Persian Gulf. It is concluded that environmental parameters should be monitored concurrently with the fisheries to allow a greater understanding for fisheries management in the Persian Gulf.     

Luring anglers to enhance fisheries

Current fisheries management is, unfortunately, reactive rather than proactive to changes in fishery characteristics. Furthermore, anglers do not act independently on waterbodies, and thus, fisheries are complex socio-ecological systems. Proactive management of these complex systems necessitates an approach--adaptive fisheries management--that allows learning to occur simultaneously with management. A promising area for implementation of adaptive fisheries management is the study of luring anglers to or from specific waterbodies to meet management goals. Purposeful manipulation of anglers, and its associated field of study, is nonexistent in past management. Evaluation of different management practices (i.e., hypotheses) through an iterative adaptive management process should include both a biological and sociological survey to address changes in fish populations and changes in angler satisfaction related to changes in management. We believe adaptive management is ideal for development and assessment of management strategies targeted at angler participation. Moreover these concepts and understandings should be applicable to other natural resource users such as hunters and hikers.     

Comparative capitalism and sustainable development: Stakeholder capitalism and co-management in the Kenyan fisheries sub sector

This paper argues that stakeholder capitalism is more appropriate to natural resource management and rural development in Africa than other varieties of capitalism. It examines different management arrangements in Kenyan Lake Victoria fisheries resources to argue that whilst stakeholder capitalism is still far from being the mainstream model of capitalism in Kenya, theoretically and empirically, it is more appropriate to sustainable development than the Anglo‐Saxon variety of capitalism that the country inherited from its British colonizers. The paper demonstrates that the concepts of ownership and management rights are social, economic and political constructs that are continuously contested, with huge implications for sustainable development and natural resource management.     

A GIS-based protocol for the collection and use of local knowledge in fisheries management planning

Despite a heavy reliance on scientific knowledge as the primary source of information in resource management, many resources are in decline, particularly in fisheries. To try and combat this trend, researchers have drawn upon the knowledge of local resource users as an important supplement to scientific knowledge in designing and implementing management strategies. The integration of local knowledge with scientific knowledge for marine species management, however, is problematic stemming primarily from conflicting data types. This paper considers the use of spatial information technology as a medium to integrate and visualise spatial distributions of both quantitative scientific data and qualitative local knowledge for the purposes of producing valid and locally relevant fisheries management plans. In this context, the paper presents a detailed protocol for the collection and subsequent use of local knowledge in fisheries management planning using geographic information systems (GIS). Particular attention is paid to the use of local knowledge in resource management, accuracy issues associated with the incorporation of qualitative data into a quantitative environment, base map selection and construction, and map bias or errors associated with the accuracy of recording harvest locations on paper map sheets, given the complications of map scale.     

Actors and Audiences: Negotiating Fisheries Management

This paper combines narrative and policy performance analyses to explore why resource management is contentious even when resources are increasing in abundance. Employing a case study of red drum in North Carolina, the study aimed to find out how different narratives of fishery science interact with policy performances to create outcomes that exacerbate conflicts. Examining six years of fisheries governance, the study explores how policy performances shape managers’ interpretations of fisheries science and modes of interacting with each other. The study finds that despite being a so-called success story, red drum management remains controversial because while user groups are concerned about access and allocation questions, managers focus on debating the meaning and implications of scientific data. Though compromises between user groups are made, conflict continues because the process through which they are reached creates frustration rather than understanding. That resource access dilemmas remain so prominent confirms that continually increasing scientific information has done little to solve resource conflicts, a key point in the dawning era of ‘big data'. The findings underscore the need for more scrutiny of how policy-making is performed, to provide insight into where interventions might promote better collaboration and acceptance of compromises.     

Fisheries in Chilika lake: how community access and control impacts their management

The status of fisheries in Chilika lake on the east coast of India is in a critical state. Local fishing communities feel that catches have reduced significantly and they face more hardships now to sustain their livelihoods. The study presents findings from field research and argues that notions of access are linked to community perceptions of the resource, the extent of authority they have to make decisions related to access and use rights and the traditional management strategies. State interventions through mechanization and new regulations have undermined the traditional management strategies leading to conflicts between different stakeholders and decline in traditional fisheries. There is a growing realization that without traditional fishing community's participation it is not possible to ensure sustainable use of the lake resources. Legitimizing community access and use rights is one of the key factors for successful management of fisheries.     

Integrating fisheries into the national development plans of Small Island Developing States (SIDS): Ten years on from Barbados

The development and effective introduction of strategies designed to ensure the ecologically and economically sustainable utilization of coastal and marine resources is perhaps the major challenge for Small Island Developing States (SIDS). In response, the 1994 Barbados Programme of Action (BPoA) called upon the SIDS to implement appropriate coastal and marine strategies and, crucially, ensure that such strategies were integrated into sustainable national development plans (NDPs). This article examines the extent to which contemporary NDPs and donor support programmes have incorporated the fisheries sector — arguably the most important coastal/marine resource for many SIDS — into such documents. Applying an assessment methodology, originally developed to identify levels of environmental mainstreaming within World Bank country assistance strategies to NDPs and donor support programmes, we are able to identify those SIDS who have most effectively integrated the fisheries sector into such documents. Comparison with data indicating the importance of the sector to the national economy (in terms of generating foreign exchange, employment generation and/or supporting domestic protein consumption levels) enables us to pinpoint those countries with substantial fisheries sectors, but a correspondingly lower than expected degree of sectoral mainstreaming. We suggest that the January 2005 review of the BPoA offers an opportune moment for such countries to redress these omissions.     

Women and natural resource management: Illustrations from India and Nepal

This article attempts to delineate women's roles in natural resource management by highlighting their roles in management of water, agriculture, livestock, forestry and fishery. The article is based on the findings of case studies in rural areas of India and Nepal done during 2003 and 2004 by the author as well as by other researchers. Taking women as primary respondents, empirical work used participatory techniques, such as in‐depth surveys, focus group discussions and participant observation. Findings suggest that women clearly outdo men in terms of their involvement in use and management of all the studied sectors, i.e., water, agriculture, livestock, forestry and fishery. Yet, they face categorical exclusion and denial of equal sharing of benefits from natural resources. In order to ensure sustainable use of these resources, the article recommends that policy makers, planners and development workers must have a better understanding of the relative and often shifting roles of men and women in natural resource management, including division of labour, access to resources, decision‐making and traditional knowledge and practices. The article concludes with sector‐specific recommendations.     

Problems and constraints in Philippine municipal fisheries: The case of San Miguel Bay,Camarines Sur

The Philippine fisheries accounted for 3.7% of the gross national product at current prices. The sector employed about 990,872 persons. Of the divisions comprising the industry, municipal fisheries continued to contribute the largest share of fish production. However, the sector is beset with problems, many of which are best examplified by the case of San Miguel Bay (SMB). This paper presents the problems and constraints confronting SMB, a common property resource. This bay's open access condition has led to various problems, such as declining fishery resources, depressed socioeconomic conditions, illegal fishing, increasing population, and conflict among resource users. A poor marketing system, low level of fishing technology, fishermen's noncompliance and authorities' lax enforcement of rules and regulations, as well as lack of alternative sources of income further characterize the condition in SMB. Establishment of fishing rights, improvement of the marketing system, provision of alternative sources of income, and improvement of fishing technology were some of the solutions suggested. One major constraint, however, is financial, Comanagement complemented with other management tools has been proposed in addressing the problems in SMB.     

Nature of property rights and motivation for blue growth: An empirical evidence from the fisheries industry

If unauthorized resource use is prevented, managing marine resources by allocating property rights may match economic and environmental conservation incentives. However, because of the developing exploitation of marine resources and accompanying pollution, species' living conditions in Europe's waters are changing more quickly than before. By considering the roles of fisheries productivity, intellectual property rights, intellectual capital rights, market size, governance, and economic growth from 1990 to 2022, this paper aims to investigate the dynamic effect of property rights factors on the sustainability of the fisheries industry in 27 European countries. At higher quantiles, the findings showed a significant positive association between governance and fisheries sustainability adopting a new method, the MMQR with fixed effects, the Method of Moments Quantile Regression. In addition, in EU27 nations, the impact of intellectual property rights was favorable and statistically significant from the first to ninth quantiles. The findings show that the EU14 developed nations have more excellent governance and intellectual capital rights than the EU13 developing countries, significantly benefiting fisheries sustainability. In the same way that market size and economic growth condense fisheries sustainability in EU14 developed and EU13 developing countries, it has been discovered that intellectual property rights do the same across all quantiles, supporting the growth hypothesis for fisheries-producing countries. The findings specifically show that the beneficial solid impact of intellectual property rights, market size, and economic development on the sustainability of fisheries is more significant in EU13 developing nations than in EU14 developed countries. These results provide policymakers with helpful information for promoting property rights aspects in EU14 and EU13 nations via effective green technologies in the fisheries sector to meet sustainable development objectives.     

Input- and output-oriented approaches to implementing ecosystem management

Input- and output-oriented approaches to landscape management have distinct roles for resource protection, environmental restoration, and sustainable land management. Implementing recent proposals for ecosystem management in the western United States involves a synthesis of input and output management. Within the broader context of ecosystem management, input management focuses on tailoring land use to the landscape, whereas output management employs assessments of resource condition to trigger modified management activity once resources are degraded to specified threshold conditions. Current approaches to landscape-scale management, however, tend to rely primarily on output-oriented strategies that are most effective for monitoring environmental conditions. Current uses of input management focus on environmental impact assessments, which generally are site- or project-specific analyses. The compeexity and dynamic nature of ecosystems, and the range of scales over which ecological processes operate, imply that development and incorporation of input-oriented approaches into landscape-scale management is necessary to implement ecosystem management as a strategy for sustainable land use.