RT Journal Article
SR Electronic
T1 Disentangling Effects of Policy Reform and Environmental Changes in the Norwegian Coastal Fishery for Cod
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 689
OP 709
DO 10.3368/le.93.4.689
VO 93
IS 4
A1 Florian Diekert
A1 Tore Schweder
YR 2017
UL http://le.uwpress.org/content/93/4/689.abstract
AB We construct a detailed bioeconomic model of the Norwegian coastal cod fishery. This fishery has been open access up to the policy change during the “cod crisis” of 1989/1990. To answer to what extent the subsequent increase in biomass and profits was due to improved management, we isolate the effect of environmental variability. Projecting stock and harvest forward in the counterfactual scenario of no intervention, we show that the policy had a small positive impact on biomass, but a pronounced positive effect on profits. The main drivers of profit gains are increases in productivity and savings in fuel and labor costs. (JEL D23, Q22)