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Strategic Sovereignty: A Model of Non-state Goods Provision and Resistance in Regions of Natural Resource Extraction

Journal of Conflict Resolution

Published online on


In some regions of natural resource extraction, embedded local populations receive transfers that compensate them for environmental consequences of extraction; while in others, these populations receive no benefits and endure negative environmental externalities, which can lead to violent protest. This article develops a formal model of the strategic dynamics among a government, a natural resource extraction firm, and a local population in an extractive region to understand the variation in extractive outcomes. The model specifies the conditions under which firms will provide promised transfers to a local population, distributive conflict will occur, and how the government will respond.