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Optimal Exploitation of a Biomass Confronted with the Threat of Collapse

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  • Amundsen, E.S.
  • Bjorndal, T.
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    Abstract

    This paper examines how to harvest a biomass exposed to a potential collapse at an uncertain date. A specific recovery effect is identified which may be positive or negative. In general, the effect on the optimal biomass is indeterminate and depends upon the failure rate, the expected collapse, and the function relating the extent of the collapse to the size of the precollapse shock.

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    Bibliographic Info

    Paper provided by Department of Economics, University of Bergen in its series Norway; Department of Economics, University of Bergen with number 193.

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    Length: 18 pages
    Date of creation: 1999
    Date of revision:
    Handle: RePEc:fth:bereco:193

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    Postal: Department of Economics, University of Bergen Fosswinckels Gate 6. N-5007 Bergen, Norway
    Phone: (+47)55589200
    Fax: (+47)55589210
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    Web page: http://www.uib.no/econ/
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    Keywords: ENVIRONMENT ; BIOMASS;

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