Efficiency Of Itqs In The Presence Of Production Externalities
AbstractIndividual transferable quotas (ITQs) are a form of property rights that can solve the inefficiencies of open-access fisheries and generate a Paretooptimal market solution in a fishery. Some writers have pointed out that if there are some production externalities in the fishery, ITQs will not be able to generate a first-best solution. In this paper, it is argued that this is incorrect. It is proved that ITQs solve the production externalities associated with crowding, as well as the stock externality they are primarily designed to solve. In a more general setting, ITQs can form a basis for trade in the production externalities and generate a first-best solution. In this case, the contracts for transfer of quotas must include clauses that restrict further sales of quotas.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Marine Resources Foundation in its journal Marine Resource Economics.
Volume (Year): 15 (2000)
Issue (Month): 1 ()
Contact details of provider:
Web page: http://www.uri.edu/cels/enre/mre/mre.htm
Resource /Energy Economics and Policy;
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Keisaku Higashida & Yasuhiro Takarada, 2011. "On Efficiency of Individual Transferable Quotas (ITQs) through Reduction of Vessels," Discussion Paper Series 68, School of Economics, Kwansei Gakuin University, revised Jan 2011.
- HIGASHIDA Keisaku & TAKARADA Yasuhiro, 2009. "Efficiency of Individual Transferable Quotas (ITQ) Systems and Input and Stock Controls," Discussion papers 09046, Research Institute of Economy, Trade and Industry (RIETI).
- Boyce, John R., 2000. "Comment: Efficiency Of Itqs In The Presence Of Production Externalities," Marine Resource Economics, Marine Resources Foundation, vol. 15(3).
- Holland, Daniel S., 2004. "Spatial Fishery Rights And Marine Zoning: A Discussion With Referernce To Management Of Marine Resources In New England," Marine Resource Economics, Marine Resources Foundation, vol. 19(1).
- Caviglia-Harris, Jill L. & Kahn, James R. & Green, Trellis, 2003. "Demand-side policies for environmental protection and sustainable usage of renewable resources," Ecological Economics, Elsevier, vol. 45(1), pages 119-132, April.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.