Wildlife corridor market design: An experimental analysis of the impact of project selection criteria and bidding flexibility

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In this work we investigated the impact of project selection criteria and bidding flexibility on the economic performance of wildlife corridor auctions. Bidders coordinated their bids to form valid corridors and compete with other valid corridors to be successful.

We tested the impact of bidding flexibility in terms of (a) bidders differentiating their offers for different eligible corridors and (b) bidders submitting a single offer that would automatically be considered for all eligible corridors.

Within the bidding options, we compared the performance of the auctions under a net benefit and a benefit cost ratio selection criteria.

Paper Highlights

  • Laboratory experiments were conducted where subjects make offers to join a corridor.
  • The offer treatment allowed either multiple offers or only one offer.
  • The selection treatment tested net benefits and benefit to cost ratio selection.
  • Single offer treatment reduces costs to the conservation planner.

The selection treatment did not have a significant impact on observed outcomes.

http://dx.doi.org/10.1016/j.ecolecon.2014.04.017

Submitted: 5 Sept 2013. Accepted 25 Apr 2014. Published online: 20 May 2014

The article is Copyright to the Ecological Economics.

To request a copy from the authors, please contact: mdsayed.iftekhar@uwa.edu.au or John.Tisdell@utas.edu.au

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Bibliography Entry

Type of Publication Journal Article
Year of Publication 2014
Authors Iftekhar MS, Tisdell JG
Volume 104
Pagination 50 - 60
Date Published 08/2014
Journal Ecological Economics
ISSN 09218009
This page was last updated on May 28, 2014