On the mutually beneficial cooperative scheme: Dynamic change in the payoff matrix of international river basin schemes

Abstract

Mutual benefit is the most common criterion by which scholars view international cooperative river basin schemes. Since all riparians are not equally committed financially to the completion of such a project and since the benefits of the project will accrue to each party at different rates over time, a probability exists that one of the partners will opt out at a point advantageous to suit himself. Utilizing metagame theory, this paper explores the possibilities open to riparians in the Columbia and Lower Mekong River Basin schemes by demonstrating the various dynamic paths of the net benefits of such cooperative and sovereign schemes. The paper concludes by arguing that the traditional view of the criterion of mutual benefit is not valid in all cases.