Extraction Behaviour and Income Inequalities Resulting from a Common Pool Resource Exploitation
AbstractUsing an experimental approach, we investigate income distribution among heterogeneous subjects exploiting a Common Pool Resource (CPR). The CPR experiments are conducted in continuous time and under different treatments, including combinations of communication and monitoring. While many studies have focused on how real-life income inequality affects cooperation and resource use among groups, here we examine the relationship between individuals’ cooperative traits, harvest inequalities, and institutional arrangements. We found that: (1) When combined with monitoring, communication decreases harvest inequality—that is, harvest is more equally distributed among individuals in all treatments; and (2) the cooperative trait of individuals significantly predicts harvest inequality. The relative proportion of non-cooperators and cooperators (i.e., the cooperative dependency ratio) drives the within-session harvest distribution—as the cooperative dependency ration increases, the income distribution becomes increasingly unequal, leading to a downward spiral of resource overexploitation and scarcity. Finally, our results suggest that harvest and income inequalities are contingent to resource abundance, because under this regime, non-cooperators exert the greatest amount effort—thus leading to resource scarcity and income inequalities. View Full-Text
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Owusu, K.A.; Kulesz, M.M.; Merico, A. Extraction Behaviour and Income Inequalities Resulting from a Common Pool Resource Exploitation. Sustainability 2019, 11, 536.
Owusu KA, Kulesz MM, Merico A. Extraction Behaviour and Income Inequalities Resulting from a Common Pool Resource Exploitation. Sustainability. 2019; 11(2):536.Chicago/Turabian Style
Owusu, Kwabena A.; Kulesz, Micaela M.; Merico, Agostino. 2019. "Extraction Behaviour and Income Inequalities Resulting from a Common Pool Resource Exploitation." Sustainability 11, no. 2: 536.
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