Institutions, Transaction Costs and Environmental

Product Description Conventional economic analysis of property rights in natural resources is too narrow and restrictive to allow for effective comparisons between alternative institutional structures. In this book, a conceptual framework is developed for the analysis of these structures with illustrative application to the allocation of water resources.Ray Challen introduces and develops a model for the analysis of the problems involved in institutional choice that takes into account constraints in institutional change imposed by history and the value of maintaining options in an uncertain future. The emphasis of institutional analysis shifts from assessing the benefits of particular property rights regimes in isolation to considering the distribution of property rights between levels of governments, communities and individuals in an institutional hierarchy. Conceptual developments in institutional theory are illustrated by using a case study of institutional change in the regulation of water use in irrigated agriculture. Review 'This book will be of particular benefit to those with an interest in the application of new institutional economics to natural resource management . . . the conceptual model developed in the book provides a useful framework for analysing general issues associated with institutional analysis and choice . . . the book offers readers a valuable insight into the application of transaction cost analysis to understand institutions.' About the Author Ray Challen, Associate Director, The Allen Consulting Group, Perth, Australia