IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i6p3374-d770291.html
   My bibliography  Save this article

Study on Influencing Factors and Simulation of Watershed Ecological Compensation Based on Evolutionary Game

Author

Listed:
  • Quanxi Wang

    (State Key Laboratory of Eco-Hydraulics in Northwest Arid Region of China, Xi’an University of Technology, No. 5 South Jinhua Road, Xi’an 710048, China)

  • Ni Wang

    (State Key Laboratory of Eco-Hydraulics in Northwest Arid Region of China, Xi’an University of Technology, No. 5 South Jinhua Road, Xi’an 710048, China)

  • Haodong Wang

    (State Key Laboratory of Eco-Hydraulics in Northwest Arid Region of China, Xi’an University of Technology, No. 5 South Jinhua Road, Xi’an 710048, China)

  • Yuan Xiu

    (State Key Laboratory of Eco-Hydraulics in Northwest Arid Region of China, Xi’an University of Technology, No. 5 South Jinhua Road, Xi’an 710048, China)

Abstract

In the practice of watershed ecological compensation, due to the inconsistency between the interests of economic development and the objectives of ecological protection, there are typical game characteristics among the relevant stakeholders. Taking the ecological compensation between Henan and Shaanxi in the Yellow River Basin as an example, this paper constructs an evolutionary game model, obtains the external conditions for various stakeholders to achieve stable cooperation from the perspective of the government, and demonstrates the necessity of combining vertical and horizontal ecological compensation. The sensitivity of each party’s decision making to key elements is analyzed through a simulation. The results show that: (1) the optimal strategy is mainly affected by the initial willingness of the upstream government and the central government; the strong regulatory power of the central government can eliminate the influence of the initial will; (2) development opportunity costs and vertical fiscal transfer payments have the most obvious influence on upstream government decision-making; (3) the effect on optimal decision state of downstream paying upstream ecological compensation is higher than that of upstream paying downstream ecological compensation; (4) the punishment of the central government should ensure the binding force on the lower governments, and the revenue and expenditure under its supervision strategy should ensure the effectiveness of the supervision public power. The above conclusions provide support for improving the ecological compensation mechanism of transboundary basins.

Suggested Citation

  • Quanxi Wang & Ni Wang & Haodong Wang & Yuan Xiu, 2022. "Study on Influencing Factors and Simulation of Watershed Ecological Compensation Based on Evolutionary Game," Sustainability, MDPI, vol. 14(6), pages 1-23, March.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:6:p:3374-:d:770291
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/6/3374/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/6/3374/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Engel, Stefanie & Pagiola, Stefano & Wunder, Sven, 2008. "Designing payments for environmental services in theory and practice: An overview of the issues," Ecological Economics, Elsevier, vol. 65(4), pages 663-674, May.
    2. Thomas W. Hertel & Jeffrey J. Reimer, 2006. "Predicting the Poverty Impacts of Trade Reform," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 2, May.
    3. Yuheng Yang & Xi Zhang & Leran Chang & Yufei Cheng & Shengle Cao, 2018. "A Method of Evaluating Ecological Compensation Under Different Property Rights and Stages: A Case Study of the Xiaoqing River Basin, China," Sustainability, MDPI, vol. 10(3), pages 1-14, February.
    4. Zhao, Laijun & Li, Changmin & Huang, Rongbing & Si, Steven & Xue, Jian & Huang, Wei & Hu, Yue, 2013. "Harmonizing model with transfer tax on water pollution across regional boundaries in a China’s lake basin," European Journal of Operational Research, Elsevier, vol. 225(2), pages 377-382.
    5. Tri Sulistyaningsih & Achmad Nurmandi & Salahudin Salahudin & Ali Roziqin & Muhammad Kamil & Iradhad T. Sihidi & Ach. Apriyanto Romadhan & Mohammad Jafar Loilatu, 2021. "Public Policy Analysis on Watershed Governance in Indonesia," Sustainability, MDPI, vol. 13(12), pages 1-21, June.
    6. Pagiola, Stefano, 2008. "Payments for environmental services in Costa Rica," Ecological Economics, Elsevier, vol. 65(4), pages 712-724, May.
    7. Lu, Zhixiang & Gao, Bingtao, 2009. "Study on Ecological Compensation System and Land Desertification Control," Asian Agricultural Research, USA-China Science and Culture Media Corporation, vol. 1(07), pages 1-4, July.
    8. Martin J. Osborne & Ariel Rubinstein, 1994. "A Course in Game Theory," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262650401, December.
    9. Laura German & Hailemichael Taye, 2008. "A framework for evaluating effectiveness and inclusiveness of collective action in watershed management," Journal of International Development, John Wiley & Sons, Ltd., vol. 20(1), pages 99-116.
    10. James Salzman & Genevieve Bennett & Nathaniel Carroll & Allie Goldstein & Michael Jenkins, 2018. "The global status and trends of Payments for Ecosystem Services," Nature Sustainability, Nature, vol. 1(3), pages 136-144, March.
    11. Hui Zhang & Shuang Wu & Yi Yu & Lei Lei, 2021. "Effects of payments for watershed services policy on economic growth: a case study based on the synthetic control method," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(2), pages 2739-2761, February.
    12. Ezzine-de-Blas, Driss & Corbera, Esteve & Lapeyre, Renaud, 2019. "Payments for Environmental Services and Motivation Crowding: Towards a Conceptual Framework," Ecological Economics, Elsevier, vol. 156(C), pages 434-443.
    13. Kelly,Anthony, 2003. "Decision Making Using Game Theory," Cambridge Books, Cambridge University Press, number 9780521814621, November.
    14. Guoguang Li & Qingxiu Wang & Guihuan Liu & Yue Zhao & Yuqiu Wang & Shitao Peng & Yanjie Wei & Jinnan Wang, 2020. "A Successful Approach of the First Ecological Compensation Demonstration for Crossing Provinces of Downstream and Upstream in China," Sustainability, MDPI, vol. 12(15), pages 1-18, July.
    15. Daniels, Amy E. & Bagstad, Kenneth & Esposito, Valerie & Moulaert, Azur & Rodriguez, Carlos Manuel, 2010. "Understanding the impacts of Costa Rica's PES: Are we asking the right questions?," Ecological Economics, Elsevier, vol. 69(11), pages 2116-2126, September.
    16. Helena Cotler & Maria Luisa Cuevas & Rossana Landa & Juan Manuel Frausto, 2022. "Environmental Governance in Urban Watersheds: The Role of Civil Society Organizations in Mexico," Sustainability, MDPI, vol. 14(2), pages 1-26, January.
    17. Turpie, J.K. & Marais, C. & Blignaut, J.N., 2008. "The working for water programme: Evolution of a payments for ecosystem services mechanism that addresses both poverty and ecosystem service delivery in South Africa," Ecological Economics, Elsevier, vol. 65(4), pages 788-798, May.
    18. Pu Wang & Cheng-Kuan Lin & Yi Wang & Dachuan Liu & Dunjiang Song & Tong Wu, 2021. "Location-specific co-benefits of carbon emissions reduction from coal-fired power plants in China," Nature Communications, Nature, vol. 12(1), pages 1-11, December.
    19. Yin, Runsheng & Zhao, Minjuan, 2012. "Ecological restoration programs and payments for ecosystem services as integrated biophysical and socioeconomic processes—China's experience as an example," Ecological Economics, Elsevier, vol. 73(C), pages 56-65.
    20. Rasch, Sebastian & Wünscher, Tobias & Casasola, Francisco & Ibrahim, Muhammad & Storm, Hugo, 2021. "Permanence of PES and the role of social context in the Regional Integrated Silvo-pastoral Ecosystem Management Project in Costa Rica," Ecological Economics, Elsevier, vol. 185(C).
    21. Sheng, Jichuan & Webber, Michael, 2017. "Incentive-compatible payments for watershed services along the Eastern Route of China’s South-North Water Transfer Project," Ecosystem Services, Elsevier, vol. 25(C), pages 213-226.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yali Lu & Linfang Fan & Luyu Zhai, 2023. "Evolutionary Game Analysis of Inter-provincial Diversified Ecological Compensation Collaborative Governance," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 37(1), pages 341-357, January.
    2. Srijita Ghosh & Kausik Gupta, 2023. "Dynamic Analysis of Watershed Management and Sustainable Agriculture in Dryland Regions: A Case Study of Purulia District, West Bengal," Review of Development and Change, , vol. 28(2), pages 207-244, December.
    3. Zhidong Li & Boru Su & Moucheng Liu, 2022. "Research Progress on the Theory and Practice of Grassland Eco-Compensation in China," Agriculture, MDPI, vol. 12(5), pages 1-16, May.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Schomers, Sarah & Matzdorf, Bettina, 2013. "Payments for ecosystem services: A review and comparison of developing and industrialized countries," Ecosystem Services, Elsevier, vol. 6(C), pages 16-30.
    2. Zhang, Jing & Brown, Colin & Qiao, Guanghua & Zhang, Bao, 2019. "Effect of Eco-compensation Schemes on Household Income Structures and Herder Satisfaction: Lessons From the Grassland Ecosystem Subsidy and Award Scheme in Inner Mongolia," Ecological Economics, Elsevier, vol. 159(C), pages 46-53.
    3. Garrett, R.D. & Grabs, J. & Cammelli, F. & Gollnow, F. & Levy, S.A., 2022. "Should payments for environmental services be used to implement zero-deforestation supply chain policies? The case of soy in the Brazilian Cerrado," World Development, Elsevier, vol. 152(C).
    4. Legrand, Thomas & Froger, Géraldine & Le Coq, Jean-François, 2013. "Institutional performance of Payments for Environmental Services: An analysis of the Costa Rican Program," Forest Policy and Economics, Elsevier, vol. 37(C), pages 115-123.
    5. Langhans, Kelley E. & Schmitt, Rafael J.P. & Chaplin-Kramer, Rebecca & Anderson, Christopher B. & Vargas Bolaños, Christian & Vargas Cabezas, Fermin & Dirzo, Rodolfo & Goldstein, Jesse A. & Horangic, , 2022. "Modeling multiple ecosystem services and beneficiaries of riparian reforestation in Costa Rica," Ecosystem Services, Elsevier, vol. 57(C).
    6. Blackman, Allen & Woodward, Richard T., 2010. "User financing in a national payments for environmental services program: Costa Rican hydropower," Ecological Economics, Elsevier, vol. 69(8), pages 1626-1638, June.
    7. Rodrigo A. Arriagada, & Paul J. Ferraro & Erin O. Sills & Subhrendu K. Pattanayak & Silvia Cordero-Sancho, 2012. "Do Payments for Environmental Services Affect Forest Cover? A Farm-Level Evaluation from Costa Rica," Land Economics, University of Wisconsin Press, vol. 88(2), pages 382-399.
    8. Huang, Dayan & Liu, Chengyi & Yan, Zehao & Kou, Aiju, 2023. "Payments for Watershed Services and corporate green innovation," International Review of Economics & Finance, Elsevier, vol. 87(C), pages 541-556.
    9. Maca-Millán, Stefany & Arias-Arévalo, Paola & Restrepo-Plaza, Lina, 2021. "Payment for ecosystem services and motivational crowding: Experimental insights regarding the integration of plural values via non-monetary incentives," Ecosystem Services, Elsevier, vol. 52(C).
    10. Pascual, Unai & Muradian, Roldan & Rodríguez, Luis C. & Duraiappah, Anantha, 2010. "Exploring the links between equity and efficiency in payments for environmental services: A conceptual approach," Ecological Economics, Elsevier, vol. 69(6), pages 1237-1244, April.
    11. Pagiola, Stefano & Zhang, Wei & Colom, Ale, 2009. "Can payments for watershed services help save biodiversity? A spatial analysis of highland Guatemala," MPRA Paper 13728, University Library of Munich, Germany.
    12. Iván Pérez-Rubio & Daniel Flores & Christian Vargas & Francisco Jiménez & Iker Etxano, 2021. "To What Extent Are Cattle Ranching Landholders Willing to Restore Ecosystem Services? Constructing a Micro-Scale PES Scheme in Southern Costa Rica," Land, MDPI, vol. 10(7), pages 1-24, July.
    13. Andrews, Jeffrey & Borgerhoff Mulder, Monique, 2024. "The value of failure: The effect of an expired REDD+ conservation program on residents’ willingness for future participation," Ecological Economics, Elsevier, vol. 220(C).
    14. Dongbin Hu & Mei Lin & Yang Chen, 2022. "Can Horizontal Ecological Compensation Improve the Water Environment in Cross-Provincial Watersheds?," Sustainability, MDPI, vol. 14(16), pages 1-18, August.
    15. Yonariza, & Andini, Bevi Astika & Mahdi, & Maynard, Simone, 2019. "Addressing knowledge gaps between stakeholders in payments for watershed services: Case of Koto Panjang hydropower plant catchment area, Sumatra, Indonesia," Ecosystem Services, Elsevier, vol. 39(C).
    16. Benjamin S. Thompson, 2021. "Corporate Payments for Ecosystem Services in Theory and Practice: Links to Economics, Business, and Sustainability," Sustainability, MDPI, vol. 13(15), pages 1-18, July.
    17. Kemigisha, Esther & Babweteera, Fred & Mugisha, Johnny & Angelsen, Arild, 2023. "Payment for environmental services to reduce deforestation: Do the positive effects last?," Ecological Economics, Elsevier, vol. 209(C).
    18. Hrabanski, Marie & Bidaud, Cécile & Le Coq, Jean-François & Méral, Philippe, 2013. "Environmental NGOs, policy entrepreneurs of market-based instruments for ecosystem services? A comparison of Costa Rica, Madagascar and France," Forest Policy and Economics, Elsevier, vol. 37(C), pages 124-132.
    19. Brownson, Katherine & Anderson, Elizabeth P. & Ferreira, Susana & Wenger, Seth & Fowler, Laurie & German, Laura, 2020. "Governance of Payments for Ecosystem Ecosystem services influences social and environmental outcomes in Costa Rica," Ecological Economics, Elsevier, vol. 174(C).
    20. Calle, Alicia, 2020. "Can short-term payments for ecosystem services deliver long-term tree cover change?," Ecosystem Services, Elsevier, vol. 42(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:6:p:3374-:d:770291. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.