Wednesday, 26th October 2022
14:00 - 15:00
Clay Room - Nuffield College
Disentangling the Effects of Cooperation on Local Pollution Efforts in the Mekong Delta
Aquaculture is one of the fastest growing industries in Vietnam, both nationally and internationally. This specific industry in the VMD is not only currently dealing with climate change, which affects economic gains and pond productivity but also production itself has led to severe environmental impacts, including pollution and mangrove cover loss. Our research project aims to disentangle the mechanisms for local farmer cooperation to eliminate water pollution from aquaculture-prevalent communities. More specifically we aim to understand whether farmers can collaborate to build canals to separate polluted from clean water, reducing the likelihood of disease outbreaks in ponds and increasing economic gains for farmers, as well as the sustainability of the ponds and the industry in the long-term. For this purpose, we run an economic experiment in different villages in the Mekong river delta. Within local cooperation, our objective is to bring information to policy-makers on formal, third-party mechanisms to increase farmer contributions with a view to improving environmental amenities and increasing the sustainability of food production in the long-term, while maintaining low costs of the policy. We will focus on two mechanisms that could be adapted to local communities: 1) third-party enforcement (application of a fine) and 2) third-party matching contributions. We will also analyse what happens when farmers have different incomes and want to contribute to the public good, by implementing situations with equal and unequal endowments.