Are commons destined to fail from self-governance in Malaysia?

• Main Authors: Wang, Hong Kok, Wan Abdul Aziz, Wan Nor Azriyati
• Format: Conference or Workshop Item
• Published: 2013
• Subjects: JC Political theory
• Online Access: http://repo.uum.edu.my/8894/; http://www.icois2013.uum.edu.my/

Hardin's (1968) "The tragedy of the commons" is as real today as four decades ago. Despite many new policies introduced and a wide range of initiatives taken by the government, the condition of the common areas continues to deteriorate. Hence the purpose of the narrative study is to explore the contributing factors of this social dilemma from the life experience of the head of a Joint Management Body (JMR) who managed the common-area in low-cost housing.In this endeavour, using institutional analysis development (TAD) framework as the theoretical framework, and new institutional economics (NIE) reasoning as rival theory, four low cost housing projects (that ranged from 200 units to 700 hundred units) in Selangor that produced varying degree of success in self- governance were compared and contrasted.The findings showed the complexity of the social phenomenon due largely to the nature of men who found collective action a challenge.In cases where self- governance were working, the success was attributed to effective local leadership who managed to inculcate some measures of social capital that resulted in mutual trusts between JMB management and parcel holders.From NIE reasoning, the ability to reduce transaction costs by JMB was therefore the key in the equation of trusts.Since the institution of self-governance is at its infancy, to expect low-cost parcel holders to fend for themselves is irrational from common-pool resource management perspective.The findings suggest that existing institutional arrangements breed market failures that result in asset degradation and values dissipation due to over exploitation and little re-investment by parcel holders. The findings further suggest that the institution of self-governance deserves a review.