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Bioeconomic model of spatial fishery management in developing countries

Published online by Cambridge University Press:  01 February 2012

Wisdom Akpalu
Affiliation:
Farmingdale State College, State University of New York, USA. Email: akpaluw@farmingdale.edu
Godwin K. Vondolia
Affiliation:
Department of Economics, University of Gothenburg, Box 640, SE 405 30 Gothenburg, Sweden. Tel: +46 31 786 4170. Email: kofi.vondolia@economics.gu.se

Abstract

Fishers in developing countries do not have the resources to acquire advanced technologies to exploit offshore fish stocks. As a result, the United Nations Convention on the Law of the Sea requires countries to sign partnership agreements with distant water fishing nations to exploit offshore stocks. However, for migratory stocks, the offshore may serve as a natural marine reserve (i.e., a source) to the inshore (i.e., sink); hence these partnership agreements generate a spatial externality. In this paper, we present a bioeconomic model in which a social planner uses a landing tax (ad valorem tax) to internalize this spatial externality. We found that the tax must reflect the biological connectivity between the two patches, intrinsic growth rate, the price of fish and cost per unit effort. The results are empirically illustrated using data on Ghana.

Type
Research Article
Copyright
Copyright © Cambridge University Press 2012

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