Negative human impacts on wild carnivore populations are increasing throughout the world, particularly for large carnivores such as tigers in India. The juxtaposition of tiger habitat and human habitation creates conflict leading to loss of human life and property and decreased tolerance for tiger protection which ultimately results in loss of tigers. An important tool for mitigating human-wildlife conflict is to make some arrangements, for example compensation from the stakeholders who wish to have more tigers to those who provide the habitats. But the arrangement often has high transaction costs and leads to failure of the objective. Higher transaction costs give rise to asymmetrical bargaining powers and information resulting in inefficient compensation schemes. The goal is to identify potential factors of transaction costs influencing human-wildlife conflict resolution.
Results/Conclusions
India has the highest population of wild tigers, but people living around tiger habitat face a constant threat to their lives and livelihood. Field surveys are used to identify and quantify the parameters of transaction costs involved in compensation programs intended to reduce human-tiger conflict in India. Transaction costs include documentation, photographs, visits to various government offices, and filing the claim and follow up visits to ensure the claim is processed. India is a country where people living around tiger habitats are poor and time is invaluable for daily subsistence which is unaccounted for while designing compensation schemes. Inclusion of transaction costs in the policy making of compensation schemes will ensure adequate and timely monetary benefits, augmenting the conservation attitude. Identifying the drivers of transaction cost and reduced costs can increase efficiency and equity in resolving human-carnivore conflicts globally, especially in low income countries leading to informed policy making.