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A Bilateral River Bargaining Problem with Negative Externality

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  • Shivshanker Singh Patel
  • Parthasarathy Ramachandran

Abstract

This article is addressing the problem of river sharing between two agents along a river in the presence of negative externalities. Where, each agent claims river water based on the hydrological characteristics of the territories. The claims can be characterized by some international framework (principles) of entitlement. These international principles are appears to be inequitable by the other agents in the presence of negative externalities. The negotiated treaties address sharing water along with the issue of negative externalities imposed by the upstream agent on the downstream agents. The market based bargaining mechanism is used for modeling and for characterization of agreement points.

Suggested Citation

  • Shivshanker Singh Patel & Parthasarathy Ramachandran, 2019. "A Bilateral River Bargaining Problem with Negative Externality," Papers 1912.05844, arXiv.org.
    • Handle: RePEc:arx:papers:1912.05844
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    References listed on IDEAS

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