Productivity Change under an Individual Transferable Quota Management System

Abstract

This study examines productivity change in the Mid‐Atlantic surfclam and ocean quahog fishery, which has been managed since 1990 using Individual Transferable Quotas (ITQ). Productivity change is estimated through a Malmquist index from 1981–2008, capturing change before and after implementation of the quota system. We then decompose the index to examine changes in technical efficiency, scale efficiency, and technical change. Our findings indicate that the ITQ system has not sustained gains in vessel productivity. These results are thought to be driven by spatial changes in biomass and the inability to access more productive fishing grounds.

Measuring fishery profitability: An index number approach

“…lower cost). Based on evidence from other fisheries that have transitioned to catch share arrangements, such as the Mid-Atlantic surfclam and ocean quahog fisheries, there will also be a subsequent exit of vessels from the fishery [21].…”

Measuring changes in multi-factor productivity in U.S. catch share fisheries

“…5 The interest rate for BAA rated bonds was used as the capital services price. 6 Each of these price series were based on national averages and unless otherwise noted were used in the absence of alternative region-specific data. All input and output prices were converted to constant 2010 dollars using the GDP implicit price deflator.…”

“…Weninger [5] examined changes in productivity for surfclam vessels using a directional distance function model. More recently [6] updated Weninger's analysis to examine productivity change in the surfclam and ocean quahog ITQ fishery using a Malmquist index. Jin et al [7] measured total factor productivity in the New England Groundfish Fishery during the period 1964-2003.…”

Measuring Productivity in a Shared Stock Fishery: A Case Study of the Hawaii Longline Fishery

“…Finally, the index is easy to construct using readily available spreadsheet programs, and the measure of productivity change can be made at the vessel, fleet, or fishery level. This is in contrast to the Malmquist index (MI) introduced by [16], which has been used to measure productivity change in fisheries [17], and which only needs data on quantities. However, in order to construct the MI, one needs to run four different linear programming models needing a large number of observations, and often balanced panel data.…”