Abstract

This paper describes the development and implementation of a model to measure and compare transaction costs in situations of multiple land use, where interdependence prevails between the agents-thus actions of one agent affects others. Transaction costs typically occur in situations where limited resources are used by more than one agent and bargaining of the use is conducted to mitigate conflict. The model of the paper is empirically tested on one such situation: forestry and reindeer husbandry, which is pursued in northern Sweden where transaction costs occur in common land use as a result of consultations. The results indicate that transaction costs are unevenly distributed between the two agents, where reindeer husbandry carries the highest costs, resulting in uneven power relations. Transaction costs are driven by the presence of Land Use Plans of reindeer husbandry, interestingly enough driving the costs in different directions for the two agents. The model illustrates the elements of transaction costs in a common pool resource situation, and the results are not only useful for this specific situation in policymaking, but also for other similar situations.

Keywords

co-management; forest companies; Sami; Sami community; transaction costs

Published in

Canadian Journal of Forest Research
2019, Volume: 49, number: 4, pages: 339-349
Publisher: CANADIAN SCIENCE PUBLISHING, NRC RESEARCH PRESS

SLU Authors

• Widmark, Camilla

  • Department of Forest Economics, Swedish University of Agricultural Sciences
    

UKÄ Subject classification

Forest Science
Economics


Publication identifier

DOI: https://doi.org/10.1139/cjfr-2018-0265

Permanent link to this page (URI)

https://res.slu.se/id/publ/99307