How to eat a cake of unknown size: A reconsideration [An article from: Journal of Environmental Economics and Management]
How to eat a cake of unknown size: A reconsideration [An article from: Journal of Environmental Economics and Management]

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This digital document is a journal article from Journal of Environmental Economics and Management, published by Elsevier in . The article is delivered in HTML format and is available in your Amazon.com Media Library immediately after purchase. You can view it with any web browser.Description: Among others who point to environmental variability and managerial uncertainty as causes of fishery collapse, Roughgarden and Smith (Proc. Natl. Acad. Sci. 93 (1996) 5078) argue that three sources of uncertainty are important for fisheries management: variability in fish dynamics, inaccurate stock size estimates, and inaccurate implementation of harvest quotas. We develop a bioeconomic model with these three sources of uncertainty, and solve for optimal escapement based on measurements of fish stock in a discrete-time model. Among other results we find: (1) when uncertainties are high, we generally reject the constant-escapement rule advocated in much of the existing literature, (2) inaccurate stock estimation affects policy in a fundamentally different way than the other sources of uncertainty, and (3) the optimal policy leads to significantly higher commercial profits and lower extinction risk than the optimal constant-escapement policy (by 42% and 56%, respectively).

  • Released: November 16, 2020
  • Author: R.C. Kumar
  • Rating: 4,9
  • Publisher: Ebook DIgital Agency
  • Total Page: 933 pages
  • File Size: 3670 KB

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