Monitoring Institutions

How can monitoring institutions protect common pool goods?

Takeaway Points

  1. In a prisoner’s dilemma, both parties have incentive to defect (over-consume) despite the fact that cooperation (sustainable consumption) is mutually preferable.
  2. Repeated interaction allows states to cooperate—but actors need to be able to observe defections to properly punish the other player.
  3. Monitoring institutions provide this information, allowing states to obtain mutual gains.