An Examination of the Stability of Cooperation in an Ongoing Collective Action: The Case of Nonpoint Source Pollution in Lake Pittsfield
Algozin, Kenneth Alan
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https://hdl.handle.net/2142/83042
Description
Title
An Examination of the Stability of Cooperation in an Ongoing Collective Action: The Case of Nonpoint Source Pollution in Lake Pittsfield
Author(s)
Algozin, Kenneth Alan
Issue Date
1999
Doctoral Committee Chair(s)
Nelson, Charles H.
Department of Study
Agricultural Economics
Discipline
Agricultural Economics
Degree Granting Institution
University of Illinois at Urbana-Champaign
Degree Name
Ph.D.
Degree Level
Dissertation
Keyword(s)
Economics, Agricultural
Language
eng
Abstract
This results suggest that without additional incentives, farmers are likely to abandon their voluntary agreement and resume their use of atrazine within the watershed. It is then demonstrated how a combination of policy instruments can be used to alter the underlying game configuration of the collective action problem, resulting in cooperative outcomes. An ambient-based penalty, when used in conjunction with a subsidy payment, is shown to produce divergent incentive structures that shift the classification of the collective action away from a coordination problem with two equilibria to a mixed configuration containing several different game structures and many possible equilibria. The analysis concludes with an example confirming that joint cooperation is not a prerequisite to the realization of a socially desirable outcome.
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