Fisheries Management with Stock Growth Uncertainty and Costly Capital Adjustment
We develop a dynamic model of a fishery which simultaneously incorporates random stock growth and costly capital adjustment. Numerical techniques are used to solve for the resource-rent-maximizing harvest and capital investment policies. Capital rigidities bring diminishing marginal returns to the current period harvest, and introduce an incentive to smooth the catch over time. With density dependent stock growth, however, catch smoothing increases stock variability resulting in reduced average yields. The optimal management policy balances the catch smoothing benefits against yield loss. We calibrate the model to the Alaskan pacific halibut fishery to demonstrate the main insights.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
|Date of creation:||01 Sep 2006|
|Publication status:||Published in Journal of Environmental Economics and Management, September 2006, vol. 52 no. 2, pp. 582-599|
|Contact details of provider:|| Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070|
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- repec:are:cudare:929 is not listed on IDEAS
- Kenneth L. Judd, 1998. "Numerical Methods in Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262100711.
- Boyce John R., 1995. "Optimal Capital Accumulation in a Fishery: A Nonlinear Irreversible Investment Model," Journal of Environmental Economics and Management, Elsevier, vol. 28(3), pages 324-339, May.
- Berck, Peter & Perloff, Jeffrey M, 1982.
"An Open-Access Fishery with Rational Expectations,"
Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series
qt876499mq, Department of Agricultural & Resource Economics, UC Berkeley.
- Clark, Colin W. & Kirkwood, Geoffrey P., 1986. "On uncertain renewable resource stocks: Optimal harvest policies and the value of stock surveys," Journal of Environmental Economics and Management, Elsevier, vol. 13(3), pages 235-244, September.
- Grafton, R Quentin & Squires, Dale & Fox, Kevin J, 2000.
"Private Property and Economic Efficiency: A Study of a Common-Pool Resource,"
Journal of Law and Economics,
University of Chicago Press, vol. 43(2), pages 679-713, October.
- Grafton, R.Q. & Squires, D. & Fox, K.J., 1998. "Private Property and Economic Efficiency: A Study of a Common-Pool Resource," Working Papers 9804e, University of Ottawa, Department of Economics.
- Sethi, Gautam & Costello, Christopher & Fisher, Anthony & Hanemann, Michael & Karp, Larry, 2005.
"Fishery management under multiple uncertainty,"
Journal of Environmental Economics and Management,
Elsevier, vol. 50(2), pages 300-318, September.
- Sethi, Gautam & Costello, Christopher & Fisher, Anthony C. & Hanemann, W. Michael & Karp, Larry, 2004. "Fishery Management Under Multiple Uncertainty," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt8122f9d2, Department of Agricultural & Resource Economics, UC Berkeley.
- Weninger, Quinn & McConnell, K. E., 2000.
"Buyback Programs in Commercial Fisheries: Efficiency Versus Transfers,"
Staff General Research Papers Archive
1834, Iowa State University, Department of Economics.
- Quinn Weninger, 2000. "Buyback programs in commercial fisheries:efficiency versus transfers," Canadian Journal of Economics, Canadian Economics Association, vol. 33(2), pages 394-412, May.
- Smith, Vernon L, 1969. "On Models of Commercial Fishing," Journal of Political Economy, University of Chicago Press, vol. 77(2), pages 181-198, March/Apr.
- Matulich, Scott C. & Mittelhammer, Ron C. & Reberte, Carlos, 1996. "Toward a More Complete Model of Individual Transferable Fishing Quotas: Implications of Incorporating the Processing Sector," Journal of Environmental Economics and Management, Elsevier, vol. 31(1), pages 112-128, July.
- Reed, William J., 1979. "Optimal escapement levels in stochastic and deterministic harvesting models," Journal of Environmental Economics and Management, Elsevier, vol. 6(4), pages 350-363, December.
- Robert S. Pindyck, 1984. "Uncertainty in the Theory of Renewable Resource Markets," Review of Economic Studies, Oxford University Press, vol. 51(2), pages 289-303.
- Christopher Costello & Stephen Polasky & Andrew Solow, 2001. "Renewable resource management with environmental prediction," Canadian Journal of Economics, Canadian Economics Association, vol. 34(1), pages 196-211, February.
- Clark, Colin W & Clarke, Frank H & Munro, Gordon R, 1979. "The Optimal Exploitation of Renewable Resource Stocks: Problems of Irreversible Investment," Econometrica, Econometric Society, vol. 47(1), pages 25-47, January.
When requesting a correction, please mention this item's handle: RePEc:isu:genres:12765. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Curtis Balmer)
If references are entirely missing, you can add them using this form.