Waldo, Staffan
- Department of Economics, Swedish University of Agricultural Sciences
Abstract
Open access is a well-known externality problem in fisheries causing excess capacity and overfishing. Due to global warming, externality problems from CO2 emissions have gained increased interest. With two externality problems, a first-best optimum can be achieved by using two regulatory instruments. However, solving the open-access externality problem also affects CO2 emissions. By using a bio-economic model covering Iceland, Norway, Denmark, Sweden, and the Faroe Islands, it is shown that regulations of the open access externality problem have a large effect on both economic performance and CO2 emissions, while an additional CO2 regulation only has minor effects. The second-best solution achieved by only regulating open access reduces emissions by approximately 50% compared to current fisheries, with the exception of Iceland, which already has a well-developed fisheries management system.
Keywords
Climate change; economic efficiency; externalities; fisheries; fuel efficiency; regulation
Published in
Marine Resource Economics
2016, volume: 31, number: 2, pages: 233-257
Publisher: UNIV CHICAGO PRESS
SLU Authors
Global goals (SDG)
UKÄ Subject classification
Economics
Publication identifier
- DOI: https://doi.org/10.1086/685286
Permanent link to this page (URI)
https://res.slu.se/id/publ/79917