Article: article from journal or magazin.
Beach Holiday in Bali or East-Timor? Why Conflict Can Lead to Under- and Overexploitation of Natural Resources
In the presence of distributional conflict, one can observe overexploitation for some goods, and underexploitation for others. The present article builds a simple two-period model for the analysis of this issue. It is shown that if the natural resource is renewable, underexploitation is likely, whereas negative future externalities can lead to overuse.
Conflict, Natural resources, Overexploitation, Externalities, Appropriative activities
Web of science
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