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The Dynamics of an Open Access: The case of the Baltic Sea Cod Fishery - A Strategic Approach -

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  • Lone Grønbæk Kronbak

    ()
    (Department of Environmental and Business Economics, University of Southern Denmark)

Abstract

The paper sets up a discrete-time, deterministic model of a single industry, in the light of the benchmark theory of Smith (1968). The model is used to de-scribe the dynamics of recovery from a replenishable resource such as the case of the eastern Baltic Cod fishery. The model advances from Smith’s (1968) theory since it includes a biological function dividing the change in the biomass into growth occurring during the year and recruits entering the spawning stock biomass and a dynamic entry/exit function applying a slightly more technical production function than the Schaefer production function. Theoretical possible types of steady state are discussed before the theory is applied to the eastern Baltic Sea cod fishery. The path the fishery has been following since 1982 is determined and it is discussed how it relates to the optimal path to steady state. The paper further throws light on questions as; Are we able to understand the dynamic behavior of fishermen in this fishery? Does a stable equilibrium exits and how is the path to this equilibrium described? When a fishery is regarded outside safe biological limits, could it be on the path to a positive steady state?

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File URL: http://www.sdu.dk/~/media/Files/Om_SDU/Institutter/Miljo/ime/wp/kronbak31.ashx
File Function: First version, 2002-06
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Bibliographic Info

Paper provided by University of Southern Denmark, Department of Environmental and Business Economics in its series Working Papers with number 31/02.

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Length: 53 pages
Date of creation: Jun 2002
Date of revision:
Handle: RePEc:sdk:wpaper:31

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References

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  1. Smith, Vernon L, 1971. "Economics of Production from Natural Resources: Reply," American Economic Review, American Economic Association, vol. 61(3), pages 488-91, June.
  2. Trond Bjorndal & Jon M. Conrad, 1987. "The Dynamics of an Open Access Fishery," Canadian Journal of Economics, Canadian Economics Association, vol. 20(1), pages 74-85, February.
  3. Clark, Colin W. & Munro, Gordon R., 1975. "The economics of fishing and modern capital theory: A simplified approach," Journal of Environmental Economics and Management, Elsevier, vol. 2(2), pages 92-106, December.
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Cited by:
  1. 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.
  2. Ute Kapaun & Martin Quaas, 2013. "Does the Optimal Size of a Fish Stock Increase with Environmental Uncertainties?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 54(2), pages 293-310, February.
  3. Lone Grønbæk Kronbak & Marko Lindroos, 2003. "An Enforcement-Coalition Model: Fishermen and Authorities forming Coalitions," Working Papers, University of Southern Denmark, Department of Environmental and Business Economics 50/03, University of Southern Denmark, Department of Environmental and Business Economics.
  4. Christine Roeckmann & Uwe A. Schneider & Michael A. St.John & Richard S.J. Tol, 2006. "Rebuilding the Eastern Baltic cod stock under environmental change - Part II: The economic viability of a marine protected area," Working Papers, Research unit Sustainability and Global Change, Hamburg University FNU-106, Research unit Sustainability and Global Change, Hamburg University, revised May 2006.

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