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Do Open Access Conditions Affect the Valuation of an Externality? Estimating the Welfare Effects of Mangrove-Fishery Linkages in Thailand

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  • Edward Barbier
  • Ivar Strand
  • Suthawan Sathirathai

Abstract

Mangroves are considered ecologicallyimportant due to their role as breedinggrounds and nursery habitats for off-shorefisheries. However, mangrove deforestationthrough conversion to shrimp aquaculturethreatens this valuable function. This paperdevelops a ‘dynamic’ production functionapproach to analyze the influence of habitatchanges on an open access fishery that faces afinite elasticity of demand. The basic modelis applied to a case study of the impacts ofmangrove deforestation on the artisanal marinedemersal and shellfish fisheries in Thailand. By estimating parameters through pooledtime-series and cross-sectional data over the1983–1993 period for the five coastal zones ofSouthern Thailand, the welfare impacts ofmangrove deforestation are estimated underdifferent elasticity of demand assumptions. Under pure open access, the welfare lossesestimated for mangrove deforestation inThailand of 30 km 2 annually ranged from$12,000 to $408,000 depending on theelasticity of demand. Copyright Kluwer Academic Publishers 2002

Suggested Citation

  • Edward Barbier & Ivar Strand & Suthawan Sathirathai, 2002. "Do Open Access Conditions Affect the Valuation of an Externality? Estimating the Welfare Effects of Mangrove-Fishery Linkages in Thailand," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 21(4), pages 343-365, April.
    • Handle: RePEc:kap:enreec:v:21:y:2002:i:4:p:343-365
    DOI: 10.1023/A:1015129502284
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    Cited by:

    1. Cati Torres & Nick Hanley, 2016. "Communicating research on the economic valuation of coastal and marine ecosystem services," DEA Working Papers 81, Universitat de les Illes Balears, Departament d'Economía Aplicada.
    2. Barbier,Edward B., 2007. "Natural Resources and Economic Development," Cambridge Books, Cambridge University Press, number 9780521706513.
    3. Pongkijvorasin, Sittidaj & Burnett, Kimberly & Wada, Christopher, 2018. "Joint Management of an Interconnected Coastal Aquifer and Invasive Tree," Ecological Economics, Elsevier, vol. 146(C), pages 125-135.
    4. Jorge H. Maldonado & Rocío del Pilar Moreno-Sánchez & Tatiana G. Zárate & Camila Andrea Barrera, 2013. "Valoración económica del subsistema de Áreas Marinas Protegidas en Colombia: un análisis para formuladores de política desde un enfoque multi-servicios y multi-agentes," Documentos CEDE 11933, Universidad de los Andes, Facultad de Economía, CEDE.
    5. Anderson, Lee G. & Parsons, George R., 2004. "Review of Valuation Studies for Coastal and Ocean Resources in Latin America and the Caribbean," IDB Publications (Working Papers) 4486, Inter-American Development Bank.
    6. Mykoniatis, Nikolaos & Ready, Richard, 2013. "Evaluating habitat-fishery interactions: The case of Submerged Aquatic Vegetation and Blue Crab fishery in the Chesapeake Bay," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150272, Agricultural and Applied Economics Association.
    7. Roumasset, James & Wada, Christopher A., 2013. "A dynamic approach to PES pricing and finance for interlinked ecosystem services: Watershed conservation and groundwater management," Ecological Economics, Elsevier, vol. 87(C), pages 24-33.
    8. Cuervo, Rafael & Maldonado, Jorge Higinio & Rueda, Mario E., 2014. "Valoración de los servicios ecosistémicos asociados a la pesca provistos por las Áreas Marinas Protegidas en Colombia," Documentos CEDE Series 209364, Universidad de Los Andes, Economics Department.
    9. Das, Saudamini, 2017. "Ecological Restoration and Livelihood: Contribution of Planted Mangroves as Nursery and Habitat for Artisanal and Commercial Fishery," World Development, Elsevier, vol. 94(C), pages 492-502.
    10. Hanny John Mediodia & Viktoria Kahui & Ilan Noy, 2023. "Sea Surface Temperature and Tuna Catch in the Eastern Pacific Ocean under Climate Change," Marine Resource Economics, University of Chicago Press, vol. 38(4), pages 329-351.
    11. Palola, Pirta & Bailey, Richard & Wedding, Lisa, 2022. "A novel framework to operationalise value-pluralism in environmental valuation: Environmental value functions," Ecological Economics, Elsevier, vol. 193(C).
    12. Edward B. Barbier, 2014. "Ecosystems as assets," Chapters, in: Giles Atkinson & Simon Dietz & Eric Neumayer & Matthew Agarwala (ed.), Handbook of Sustainable Development, chapter 5, pages 72-90, Edward Elgar Publishing.
    13. Martin D. Smith, 2007. "Generating Value in Habitat-Dependent Fisheries: The Importance of Fishery Management Institutions," Land Economics, University of Wisconsin Press, vol. 83(1), pages 59-73.
    14. James Roumasset & Christopher Wada, 2013. "Integrating Demand-Management with Development of Supply-Side Substitutes," Working Papers 2013-13, University of Hawaii Economic Research Organization, University of Hawaii at Manoa.
    15. Thébaud, Olivier & Boschetti, Fabio & Jennings, Sarah & Smith, Anthony D.M. & Pascoe, Sean, 2015. "Of sets of offsets: Cumulative impacts and strategies for compensatory restoration," Ecological Modelling, Elsevier, vol. 312(C), pages 114-124.
    16. Bockstael, Nancy E. & Freeman III, A. Myrick, 2006. "Welfare Theory and Valuation," Handbook of Environmental Economics, in: K. G. Mäler & J. R. Vincent (ed.), Handbook of Environmental Economics, edition 1, volume 2, chapter 12, pages 517-570, Elsevier.
    17. Morshed, Md. Manjur & Islam, Md. Sariful & Lohano, Heman Das & Shyamsundar, Priya, 2020. "Production externalities of shrimp aquaculture on paddy farming in coastal Bangladesh," Agricultural Water Management, Elsevier, vol. 238(C).
    18. Yamamoto, Yuki, 2023. "Living under ecosystem degradation: Evidence from the mangrove–fishery linkage in Indonesia," Journal of Environmental Economics and Management, Elsevier, vol. 118(C).
    19. Kimberly Burnett & James Roumasset & Christopher Wada, 2014. "Cost Optimal Joint Management of Interdependent Resources: Groundwater vs. Kiawe (Prosopis pallida)," Working Papers 2014-6, University of Hawaii Economic Research Organization, University of Hawaii at Manoa.

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