The Economics of Common Pool Resources: A Review

The paper analyses open access and common property resource systems drawing insights from new institutional economics, especially property rights theory and policy analysis. This analysis of common pool resources (CPRs) under common property regimes indicates that local communities devise formal and informal institutions in managing the local commons. The paper further discusses how N. S. Jodha‟s empirical work on the economics of CPRs has enhanced our understanding of the role of CPRs in the livelihood strategies of the poor in the developing world. Devolution of authority to local resource users is emphasized as an institutional imperative in designing appropriate forms of governance structures for CPR management