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A tripartite game analysis of public participation in environmental regulation of ionic rare earth mining areas

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  • Wang, Xiuli
  • Lai, Chenghao
  • Li, Hengkai
  • Zhang, Zheyuan

Abstract

The environmental problems in mining areas caused by rare earth mining have a serious impact on local economic development and social life. This paper constructs a tripartite evolutionary game model of local government, rare earth enterprises, and the public to address the implementation of environmental regulations in rare earth mining areas. The study is based on the finite rationality of evolutionary games and considers the public as one of the participants to analyze the behavioral strategy choice and mutual influence mechanism of each participating subject in different situations. The results show that local governments, rare earth enterprises, and the public mutually influence and constrain each other in the whole game system, and the strategic choice of any one of them will affect the other two. Without relying on the power of public scrutiny, environmental regulation by local governments alone has certain effects in the short term but cannot stop environmental damage by enterprises in the long term. Additionally, public scrutiny is identified as the key factor in eliminating corporate violations, and the effect of joint government and public scrutiny is better than public scrutiny alone. Based on the above findings, some recommendations are then made from the perspectives of local governments, rare earth enterprises, and the public to provide decision-making support for promoting the sustainable development of the rare earth industry.

Suggested Citation

  • Wang, Xiuli & Lai, Chenghao & Li, Hengkai & Zhang, Zheyuan, 2023. "A tripartite game analysis of public participation in environmental regulation of ionic rare earth mining areas," Resources Policy, Elsevier, vol. 81(C).
  • Handle: RePEc:eee:jrpoli:v:81:y:2023:i:c:s0301420723000272
    DOI: 10.1016/j.resourpol.2023.103319
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    References listed on IDEAS

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    1. Haiyang Xia & Tijun Fan & Xiangyun Chang, 2019. "Emission Reduction Technology Licensing and Diffusion Under Command-and-Control Regulation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 72(2), pages 477-500, February.
    2. Shufen Guo & Ludi Wen & Yanrui Wu & Xiaohang Yue & Guilian Fan, 2020. "Fiscal Decentralization and Local Environmental Pollution in China," IJERPH, MDPI, vol. 17(22), pages 1-17, November.
    3. Clark, Matthew, 2005. "Corporate environmental behavior research: informing environmental policy," Structural Change and Economic Dynamics, Elsevier, vol. 16(3), pages 422-431, September.
    4. Lu Feng & Qimei Wu & Weijun Wu & Wenjie Liao, 2020. "Decision-Maker-Oriented VS. Collaboration: China’s Public Participation in Environmental Decision-Making," Sustainability, MDPI, vol. 12(4), pages 1-24, February.
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    Cited by:

    1. Chenghao Lai & Xiuli Wang & Hengkai Li & Yanbing Zhou, 2024. "Unleashing the Power of Closed-Loop Supply Chains: A Stackelberg Game Analysis of Rare Earth Resources Recycling," Sustainability, MDPI, vol. 16(12), pages 1-23, June.
    2. Liu, Changyu & Wang, Jing & Ji, Qiang & Zhang, Dayong, 2024. "To be green or not to be: How governmental regulation shapes financial institutions' greenwashing behaviors in green finance," International Review of Financial Analysis, Elsevier, vol. 93(C).

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