By Iris A. Hauswirth
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Rational individuals, who hold property rights that are likely to lose value if new ones emerge, will resist changes. , tariff barriers on certain products; subsidies) but have negative effects overall. Because of that, the adaptability of property rights structures to certain changes depends largely on how they are structured at present Libecap (1988) found evidence for these points in four case studies of natural resources property rights change in the US. The property rights that were developed and maintained despite alternatives that appeared to be more rational, depended on the preferences of the individual bargaining parties, and on the details of the bargaining process.
Here, the interest lies not in using property rights theory to explain organisations as being efficient, but in the identified relationships between organisation and outputs. 3 Property rights theory 35 Third, Tietzel did not find a study that tried to falsify property rights theory, and therefore concluded that there was uncertainty regarding its factual substance. The above-mentioned database research has also not identified any reviews that had the explicit objective to test the theory. This leaves Tietzel's doubts open.
PR theorists have argued that ownership means holding 'a bundle of rights' and that not all rights to resources are fully allocated, or privately held. 2. PR theorists take REMM as their basic units of analysis and distinguish between the effects a decision has on the decision maker, and on others. 3. 3 Property rights theory 31 means to have the right to till (or not to till) the soil, to mine the soil, to offer those rightsfor sale etc. g. a good is bought or sold, it involves a transfer of 'property rights'.