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The impact of IFQs on the productivity of the US Gulf of Mexico Red Snapper Fishery

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Listed:
  • Solis, Daniel
  • Agar, Juan
  • del Corral, Julio

Abstract

This paper investigates changes in the total factor productivity (TFP) and identifies the main sources of TFP growth following the adoption of an individual fishing quota (IFQ) program in the Gulf of Mexico red snapper commercial fishery. Utilizing an unbalanced panel of 722 vertical line vessels we built Malmquist indices derived from an output-oriented stochastic distance frontier. The study shows that the IFQ program had a positive impact on the productivity of the fleet and that most of the productivity gains were due to improvements in technical efficiency. The study also finds that changes in technical efficiency were time variant suggesting that the exit of the less efficient vessels and easing of command and control regulations such as trip limits and short fishing seasons were responsible for most of these gains. Changes in the exploitable biomass of red snapper were found to have a moderate impact on productivity growth whereas the impact of technological progress was minimal.

Suggested Citation

  • Solis, Daniel & Agar, Juan & del Corral, Julio, 2015. "The impact of IFQs on the productivity of the US Gulf of Mexico Red Snapper Fishery," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196639, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea15:196639
    DOI: 10.22004/ag.econ.196639
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