RATE OF PROFIT RETURN WITH ITQs: FISHING FOR OPTIMALITY

摘要

The year 1990 saw the introduction of individual transferable quota rights to the NZ rock lobster fishery. This paper presents an analysis of the evolution of profitability in five different quota management areas over the period 1990-2001. The bio-economic model of an optimal fishery provides the basis for econometric analysis. The rate of profit return in each region was regressed on the corresponding real interest rate and the marginal stock effect. Evidence is found for the existence of optimal fishery. In general the half-life value of each region's rate of profit return is trending towards its mean value. Significant individual monthly effects are also evident when we regress the rate of profit return on a time trend and monthly dummy variables.