Open AccessOUTPUT VERSUS INPUT CONTROLS UNDER UNCERTAINTY: THE CASE OF A FISHERY
Author(s) -
YAMAZAKI SATOSHI,
KOMPAS TOM,
GRAFTON R. QUENTIN
Publication year - 2009
Publication title -
natural resource modeling
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.28
H-Index - 32
eISSN - 1939-7445
pISSN - 0890-8575
DOI - 10.1111/j.1939-7445.2008.00034.x
Subject(s) - weighting , variance (accounting) , stochastic programming , risk aversion (psychology) , fisheries management , key (lock) , biomass (ecology) , fishery , economics , econometrics , computer science , operations research , environmental resource management , expected utility hypothesis , statistics , mathematics , ecology , fishing , biology , medicine , accounting , computer security , radiology
The paper compares the management outcomes with a total allowable catch (TAC) and a total allowable effort (TAE) in a fishery under uncertainty. Using a dynamic programming model with multiple uncertainties and estimated growth, harvest, and effort functions from one of the world's largest fisheries, the relative economic and biological benefits of a TAC and TAE are compared and contrasted in a stochastic environment. This approach provides a decision and modeling framework to compare instruments and achieve desired management goals. A key finding is that neither instrument is always preferred in a world of uncertainty and that regulator's risk aversion and weighting in terms of expected net profits and biomass, and the trade‐offs in terms of expected values and variance determine instrument choice.