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Bio-Economies of Scope and the Discard Problem in Mulitple Species Fisheries

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Author Info

  • Singh, Rajesh
  • Weninger, Quinn

Abstract

This paper considers the problem of multi-species fisheries management when targeting individual species is costly and at-sea discards of fish by fishermen are unobserved by the regulator. Stock conditions, ecosystem interaction, technological specification, and relative prices under which at sea discards are acute are identified. A dynamic model is developed to balance ecological interdependencies among multiple fish species, and scope economies implicit in a costly targeting technology. Three regulatory regimes, species-specific harvest quotas, landing taxes, and revenue quotas, are contrasted against a hypothetical sole owner problem. An optimal plan under all regimes precludes discarding. For both very low and very high levels of targeting costs, first best welfare is close to that achieved through any of the regulatory regimes. In general, however, landing taxes welfare dominate species-specific quota regulation; a revenue quota fares the worst.

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Bibliographic Info

Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 12839.

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Date of creation: 22 Dec 2009
Date of revision:
Publication status: Published in Journal of Environmental Economics and Management, July 2009, vol. 58 no. 1, pp. 72-92
Handle: RePEc:isu:genres:12839

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Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
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Web page: http://www.econ.iastate.edu
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Keywords: scope economies; multiple species fishery management; costly targeting; discarding;

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References

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  1. Turner, Matthew A., 1997. "Quota-Induced Discarding in Heterogeneous Fisheries," Journal of Environmental Economics and Management, Elsevier, vol. 33(2), pages 186-195, June.
  2. Brown, Gardner & Berger, Brett & Ikiara, Moses, 2005. "Different property rights regimes in the Lake Victoria multiple species fishery," Environment and Development Economics, Cambridge University Press, vol. 10(01), pages 53-65, February.
  3. Diewert, W. E., 1973. "Functional forms for profit and transformation functions," Journal of Economic Theory, Elsevier, Elsevier, vol. 6(3), pages 284-316, June.
  4. Boyce, John R., 1996. "An Economic Analysis of the Fisheries Bycatch Problem," Journal of Environmental Economics and Management, Elsevier, vol. 31(3), pages 314-336, November.
  5. Flaaten, Ola, 1991. "Bioeconomics of sustainable harvest of competing species," Journal of Environmental Economics and Management, Elsevier, vol. 20(2), pages 163-180, March.
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Cited by:
  1. Florian Diekert, 2012. "Growth Overfishing: The Race to Fish Extends to the Dimension of Size," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 52(4), pages 549-572, August.
  2. Weninger, Quinn & Perruso, Larry, 2013. "Fishing behavior across space and time," Staff General Research Papers, Iowa State University, Department of Economics 35857, Iowa State University, Department of Economics.
  3. Anders Skonhoft & Niels Vestergaard & Martin Quaas, 2012. "Optimal Harvest in an Age Structured Model with Different Fishing Selectivity," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 51(4), pages 525-544, April.
  4. Holland, D.S., 2010. "Markets, pooling and insurance for managing bycatch in fisheries," Ecological Economics, Elsevier, Elsevier, vol. 70(1), pages 121-133, November.
  5. Singh, Rajesh & Weninger, Quinn, 2012. "Harvesting uncertainty and discards in multiple-species fisheries," Staff General Research Papers, Iowa State University, Department of Economics 35428, Iowa State University, Department of Economics.
  6. Quaas, Martin F. & Requate, Till & Ruckes, Kirsten & Skonhoft, Anders & Vestergaard, Niels & Voss, Rudi, 2013. "Incentives for optimal management of age-structured fish populations," Resource and Energy Economics, Elsevier, Elsevier, vol. 35(2), pages 113-134.

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