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Rational Fools and Cooperation in a Poor Hydraulic Economy

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  • Pranab Bardhan.

Abstract

Local community-level water management is crucial for rural development in the poorest parts of the world, in South Asia and sub-Saharan Africa. Local cooperative institutions have been successful in water management in some cases, but there are numerous cases of failure. The paper draws upon the relevant lessons from the theoretical literature on cooperation in game theory, both in economics and evolutionary biology. Then it goes into the evidence from field studies by anthropologists and others on the conditions for success or failure of local cooperation. This points to some additional insights which the theoretical models are yet too constricted to incorporate.
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Suggested Citation

  • Pranab Bardhan., 1993. "Rational Fools and Cooperation in a Poor Hydraulic Economy," Center for International and Development Economics Research (CIDER) Working Papers C93-015, University of California at Berkeley.
    • Handle: RePEc:ucb:calbcd:c93-015
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D62 - Microeconomics - - Welfare Economics - - - Externalities
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • H40 - Public Economics - - Publicly Provided Goods - - - General
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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