is the current regulation of the viii division european anchovy optimal this paper sets out to assess the workability of the regulation currently in force in the european anchovy fishery of the viii division particular attention is paid to the importance of the institutional regime in the allocation of natural resources the study uses a bio economic approach and takes into account the fact that not only the european union and the individual countries involved but also some of the resource users or appropriators intervene in its management in order to compare the effectiveness of the rules which at the various levels have been set up to restrict exploitation of the resource the anchovy fishery is simulated in two extreme situations open access and sole ownership the results obtained by effective management will then be contrasted with those obtained from the maximum and zero profit objectives related with the two above mentioned scenarios thus if the real data come close to those derived from the sole ownership model it will have to be acknowledged that the rules at present in force are optimal if on the other hand the situation more closely approach the results obtained from the open access model we will endeavour in our conclusions to provide suggestions for economic policy measures that might improve the situation in the fishery

on the economically optimal exploitation of a renewable resource the case of a convex environment and a convex return function we investigate optimal policies for the exploitation of a renewable resource subject to a concave growth function and a convex return function we prove an important result on the elasticity of the objective function and apply it to give a characterization of the optimal harvesting paths in this class of models in particular we derive conditions such that all optimal programs converge to a fixed point or to a cycle of finite period and hence result in the conservation of the resource we also show which assumptions guarantee that extinction of the stock is optimal that nonconvex preferences or technologies cause problems for economic theory is well known as our model can formally be interpreted as an optimal growth model with nonconcave utility function our results are a further contribution on the dynamics of optimal paths in the general class of economic models with nonconcavities journal of economic literatureclassification numbers c61 e32 q20

the norwegian winter herring fishery a story of technological progress and stock collapse in the 1970s herring stocks in the northeast atlantic were nearly fished to extinction this collapse is usually attributed to technological advances we investigate the empirical impact of technological shocks on herring stocks we show evidence that the power block was the principal factor in the demise of the stock we also look at the sensitivity of catch to stock size and technological shocks we measure a significant stock effect in the 1950s contrary to what we expect a simulation model indicates that this could have been caused by an increasing range of the fishing fleet due to ongoing technological progress

an economic analysis of sardine fishing in the gulf of valencia spain abstract the optimal management of a particular fishery is illustrated using data describing previous fishery exploitation relevant biological and economic relationships are estimated then the optimum levels of catches effort and stock are calculated the prices that if implemented would ensure the current efficient exploitation of the fishery are also calculated finally the welfare gains that can be achieved by a movement from the freemarket equilibrium to the socially optimum solution are demonstrated

disentangling effects of policy reform and environmental changes in the norwegian coastal fishery for cod 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 profit the main drivers of profit gains are increases in productivity and savings in fuel and labor costs jel d23 q22

quota enforcement in resource industries self reporting and differentiated inspections quotas are frequently used in the management of renewable resources and emissions however in many industries there is concern about their basic effectiveness due to non compliance we develop an enforcement model of a quota regulated resource and focus on a situation with significant non compliance and exogenous constraints on fines and enforcement budget we propose a new enforcement system based on self reporting of excess extraction and explicit differentiation of inspection rates depending on compliance history we use differentiated inspections to induce firms to self report excess extraction this system increases the effectiveness of the quota by allowing the regulator to implement a wider range of aggregate extraction targets than under traditional enforcement while ensuring an efficient allocation of extraction in addition inspection costs can be reduced without reductions in welfare

production economics and optimal stock size in a north atlantic fishery this paper contains an analysis of a fishery production function and an empirical analysis of the north sea herring fishery an intertemporal profit function is defined by introducing stock dynamics and the concept of a sole resource manager some new results with respect to the relationship between the optimal stock level and production technology are derived estimates of the optimal stock level for herring are also presented

cost structure and capacity utilisation in multi product industries an application to the basque trawl industry to empirically study production structure and the capacity level at which vessels are harvesting a short run translog cost function is estimated from the estimated parameters two capacity utilisation measures are calculated ray returns to scale and a dual capacity utilisation measure both capacity utilisation measures suggest that there is excess capacity in the basque trawler fleet these measures are also estimated annually and they indicate the same conclusion the basque trawler fleet can therefore gain from increased production levels

the causes of hours constraints evidence from canada over half of workers are dissatisfied with the number of hours they work and of these the vast majority desire more rather than fewer hours using the canadian survey of work reduction we examine two potential explanations for hours constraints long term contracts due to worker moral hazard or specific capital and implicit contracts in which wages are insured but hours fluctuate our results contradict the moral hazard and insurance models and weakly support the specific capital model les causes des contraintes sur les heures de travail le cas canadien plus de la moitie des travailleurs ne sont pas satisfaits du nombre d heures qu ils travaillent et de ceux ci la grande majorite veut travailler plus et non pas moins d heures a l aide des donnees de l enquete canadienne sur la reduction des heures de travail les auteurs examinent deux sources potentielles d explication pour ce genre de phenomene les contrats a long terme attribuables au probl eme du capital humain specifique des travailleurs et au hasard moral et les contrats implicites par lesquels le niveau de salaire horaire est assure mais le nombre d heures travaillees fluctue les resultats presentes contredisent les modeles fondes sur le hasard moral et l assurance et supportent faiblement le modele de capital humain specifique surveys conducted in the united states consistently show that a substantial fraction of workers wish to work a different number of hours from those that they actually work of those who would like to change their hours the vast majority would prefer to work more hours shank 1986 in previous work kahn and lang 1992 we tested whether u s hours constraints could be explained by lifetime contract agency models in which the earnings profile is structured so as to deter worker cheating or

fishermen s discount rates in itq systems in this paper the fishermen s planning and investment horizon is investigated using their discount rates it is shown that one might calculate the implicit discount rate in an itq regulated fishery from the available information from the quota market this gives information about how well the system is working in particular discount rates where itq systems are in operation initially were very high before they started to decrease this implies that it take some time to reap the full benefits of an itq system it also gives arguments for not letting itqs be perpetual property rights and hence enables more flexibility in the management system

maximum economic yield fishery management in the face of global warming abstract this paper deals with fishery management in the face of the ecological and economic effects of global warming to achieve this a dynamic bioeconomic model and model based scenarios are considered in which the stock s growth function depends on the sea surface temperature the model is empirically calibrated for the french guiana shrimp fishery using time series collected over the period 1993 2009 three fishing effort strategies are then compared under two contrasted ipcc climate scenarios rcp 8 5 and rcp 2 6 a first harvesting strategy maintains the status quo in terms of fishing effort a more ecologically oriented strategy based on the closure of the fishery is also considered a third strategy which relates to maximum economic yield mey is based on the optimisation of the net present value derived from fishing the results first show that status quo fishing intensity combined with global warming leads to the collapse of the fishery in the long run secondly it turns out that the closure strategy preserves stock viability especially under the optimistic climate scenario thirdly the mey strategy makes it possible to satisfy bioeconomic performances requirements with positive stock and profit once again especially under the optimistic warming scenario consequently mey emerges as a relevant bioeconomic strategy in terms of adaptation to climate change but only in connection with climate change mitigation

local robustness analysis theory and application this paper develops a general framework for conducting local robustness analysis by local robustness we refer to the calculation of control solutions that are optimal against the least favorable model among models close to an initial baseline we provide nash and stackelberg equilibrium characterizations of the choice of control we apply this abstract formulation to a class of discrete time control problems this analysis is conducted using frequency domain methods and is shown to involve certain fundamental limits to the efficacy of controls in such environments finally we discuss some implications of our results for monetary policy

temporary transfers in a simple dynamic general equilibrium model abstract the main result of this paper is to demonstrate that if future discounting is sufficiently weak a temporary transfer of commodities has almost no effects on current economies although it is well known in the macroeconomic literature this proposition has not been given any rigorous proof that takes the dynamic general equilibrium effect of a transfer into account this study builds a simple dynamic general equilibrium model with two goods and demonstrates that the proposition can be derived from the equilibrium conditions of perfect foresight equilibrium

cartels and dynamic contracts in sharefishing abstract this paper studies a principal agent model of a fishery where cooperative vessel owners the principal hire unorganized fishermen agents to operate the vessels on each vessel fishermen s remuneration is a share of the value of the catch the results show that harvest shares of myopic fishermen will be reduced when cartels are established intertemporal optimization of the resource use by the cartel is accompanied by the problem of the cartel s viability share contracts are traditionally motivated by risk sharing and by the avoidance of labor monitoring the results of this paper suggest new important reasons for the commonness of share contracts in fishing sharefishing is a self adaptive and time consistent remuneration system as it automatically accomodates differences in individual crews labor supplies due to differences in fishermen s skills and cost factors an essential result found that supports harvest sharing is the relative simplicity of the social management policy optimal regulation is accomplished by a constant subsidy on the price of fish the subsidy policy is time consistent and does not change as the stock level changes the paper also addresses conditions under which stock extinction does not occur in sharefishing

sharing a fish stock when distribution and harvest costs are density dependent we studied cooperative and competitive solutions for managing a trans boundary fish stock that has a stock size dependent distribution and harvesting costs using norwegian spring spawning nss herring clupea harengus as a case study this is among the first studies to investigate the effect of a dynamic distribution in a partition function game framework i e including externalities the special feature of nss herring is that it comes under the sole ownership of norway when the stock size is sufficiently low the three players in our game are differentiated by stock ownership cost per unit effort and stock elasticity of harvest we find that cost asymmetry improves the likelihood of forming a stable grand coalition as harvesting load can be assigned to each fishing zone according to a player s relative cost level and the density of fish a dynamic distribution increases the bargaining power of norway because of her ability to control both the total stock and the stock shares in different zones especially during the stock transition years however the bargaining power of norway may disappear if her cost of harvesting exceeds that of the other players this loss of bargaining power can take on two forms first a dynamic distribution may encourage a minor player to free ride because norway needing a coalition partner to improve her cost effectiveness would be less inclined to retaliate as retaliation hurts her ally as much as the free rider second in a stable grand coalition norway is not guaranteed to receive an allocation of benefit shares in proportion to not to say in excess of her stock ownership at the current stock condition the strategy where norway reduces stock abundance below the level where the stock becomes non migratory is found attractive only if the discounting rate is sufficiently high

work hour mismatch and job mobility adjustment channels and resolution rates this paper analyses the role of job changes in overcoming work hour constraints and the work hour mismatches resulting from these constraints i e differences between actual and desired work hours building on previous findings that job change increases the flexibility of actual work hours the study addresses two as yet neglected questions in the context i how do changes in desired work hours in addition to changes in actual work hours contribute to the resolution of these mismatches ii does the increased flexibility help actually to resolve work hour mismatches we exploit information about the magnitude of the prevailing mismatch to improve both the credibility and interpretation of the results we find that job change increases the probability of resolving work hour mismatches but far less than expected with free choice of hours across jobs instead large fractions of workers either stay or switch into overemployment we thoroughly investigate the robustness and heterogeneity of our results

stationary optimal policies with discounting in a stochastic activity analysis model we consider optimal capital accumulation in a nonlinear activity analysis model in which production and primary resource supplies are affected by a stationary stochastic process of exogenous shocks the optimality criterion is the sum of discounted expected future social utilities under various neoclassical conditions on technology and preferences i there exists an optimal policy of investment and consumption expressible as a continuous time invariant function of the capital stocks and the history of stochastic shocks and ii there is a stationary stochastic process of capital stocks that is consistent with the optimal policy

growth accounting in a fishery abstract since 1950 the real value of fish catches in norway has about doubled while the number of fishermen has declined by about 85 percent this has made it possible to maintain fishermen s incomes roughly on par with other occupational groups in norway it is investigated to what extent this increase in labor productivity is due to accumulation of capital increasingly abundant fish stocks or technological progress since the capital stock in recent years is not much greater in real terms than in the early 1960s it is tempting to ascribe most of the increase in labor productivity to technical progress this however would leave out the role of fish stocks if stocks have increased over this period this would explain some of what otherwise appears as a technical progress using data on labor capital fish catches and fish stock abundance 1961 2004 the development of total factor productivity is examined ignoring changes in fish stocks total factor productivity is estimated to have increased by 0 8 percent per year accounting for changes in fish stocks raises this to 1 7 4 3 percent per year depending on the importance assigned to stocks as factors of production

competitive equilibria on turnpikes in a mckenzie economy i a neighborhood turnpike theorem in his seminal paper bewley 1982 integrates growth theory and competitive equilibrium theory considering a model with finitely many infinitely lived consumers who trade commodities in infinitely many competitive markets from the present through the future in such a model a competitive equilibrium path is an optimal growth path using this property he proves a turnpike theorem for competitive equilibrium paths in growth theory a social welfare function with respect to which optimal growth paths are considered has been assumed to be exogenously given bewley shows that in the competitive market system the market mechanism endogenously determines the social welfare function with respect to which an equilibrium path is regarded as an optimal path in bewley s model the future is discounted by a factor p in growth theory two types of turnpike theorems have been proved when the future is discounted the first type is called a neighborhood turnpike theorem it asserts that given c 0 there is 0 p 1 such that p p 1 implies that an optimal path at the discount factor p eventually stays within the s neighborhood of a stationary path this theorem does not require the social welfare function to be differentiable but only to be strictly concave and is proved by mckenzie 1979 the second type is called an asymptotic turnpike theorem it asserts that there is 0 p 1 such that p p 1 implies that an optimal path at the dicount factor p converges to a stationary path this theorem has been proved only under differentiability assumptions scheinkman 1976 bewley proves an asymptotic turnpike theorem making use of extensive differentiability assumptions the purpose of this paper is to synthesize these two importnat results of bewley and mckenzie namely we will prove a neighborhood turnpike theorem of mckenzie type in a model like that of bewley making no differentiability assumptions we will make a few generalizations of bewley s assumptions among them of importance are relaxing his differentiability assumptions weakening his interiority assumption and replacing his assumption of decreasing returns to

working part time by choice or by constraint the selection of workers into part time jobs and the wages they earn are analysed using the 1989 labour market activity survey we focus on the distinction between voluntary and involuntary part time workers since involuntary part time workers earn substantially lower wages than other workers we find that the selection of individuals into involuntary part time work is more closely tied to job characteristics than personal or human capital characteristics the lower wage earned by involuntary part time workers is largely due to differences in returns and selection effects rather than differences in endowments

the endogeneity problem in applied fisheries econometrics a critical review the purpose of this essay is to bring attention to some serious problems that exist in econometric application of fisheries economic models these problems in application are serious to the point of impeding our ability to do policy work this essay will focus on two areas of econometric application first the violation of the fundamental exogeneity condition for applied econometrics e varepsilon x 0 where varepsilon is a stochastic error term and x is a matrix of right hand side explanatory variables and second the inappropriate use of data that is available for analysis both problems deal with the econometric issues of omitted and proxy variables i will also comment on data necessary to carry out proper fisheries econometric research and policy analysis simulation techniques based on a known population regression equation are used to illustrate the extent of the empirical problems injecting real data into the simulations shows the bias that we can bring forward to the policy arena

fixed costs and hours constraints hours constraints are typically identified by worker responses to questions asking whether they would prefer a job with more hours and more pay or fewer hours and less pay because jobs with different hours but the same rate of pay may be infeasible when there are fixed costs of employment or mandatory overtime premia the constraint in those cases may be illusory cross section estimates of reported hours constraints are consistent with this model implying that the overall level of hours constraints may exaggerate the extent to which the labor market is characterized by frictions and imperfections

a conceptional analysis of dynamics and production in bioeconomic models harvesting functions and stock dynamic equations in age structured bioeconomic models are generalized in order to incorporate density dependence using this generalization anything from completely uniformly distributed fish to extreme schooling can be analyzed the classical beverton holt model comes out as a special case of the generalized model the generalization can be applied both for simulation as well as for optimization purposes given appropriate software conceptual analysis indicates that pulse fishing seems to become less and less economically profitable as we move from uniformly distributed fish to schooling species this has important implications for how fish stocks ought to be managed copyright 2010 oxford university press

aggregation without separability a generalized composite commodity theorem this paper provides general conditions for aggregating commodities without separable utility these conditions impose weaker and more empirically plausible restrictions on price movements than the currently existing alternative to separability the hicks leontief composite commodity theorem the idea is to allow departures from hicks leontief that take the form of well behaved error terms utility functions that permit generalized composite commodity aggregation include the aids model the translog all homothetic utility functions and any utility function when demands are aggregated to two groups of goods implications of empirical nonstationarity of relative prices for aggregation and demand estimation are considered copyright 1996 by american economic association

union strategy and optimal direct taxation restrictions on work hours are more important in countries with a large welfare state we show that this empirical observation is consistent with the strategic effects of such restrictions in a welfare state in the context of optimal direct taxation in the tradition of mirrlees 1971 our results also apply to non welfarist states which have income redistribution but not in purely extortionary states

individual rationality and the zonal attachment principle three stock migration models shared fish stocks migrate across borders between different countries exclusive economic zones this paper discusses the individual rationality of fish sharing agreements based on the zonal attachment of such stocks three types of migrations are considered i a common stock that grows and reproduces and is then distributed in given proportions between two countries zones at the beginning of each fishing season ii sub stocks that breed and grow independently in their separate zones but spill over between zones according to relative abundance iii a stock that grows and breeds in one country s zone but migrates into the zone of another if it exceeds a certain size it is shown that in all these cases the minor partner in a fish sharing agreement may not have an incentive to cooperate unless he gets a larger share of the cooperative profits than that corresponds to his share of the stock this is particularly likely to happen when the unit cost of fish does not depend on the stock an exception could occur if stock migration depends on the stock level the major partner could then keep the entire stock by fishing it down to a critical level

why was there mandatory retirement abstract lazear argues that hours constraints and mandatory retirement form part of an efficient contract which inhibits worker shirking he argues that initially workers earn less than their vmp and must work more than they want while later they earn more than their vmp and must work less however if bonding is costly incentive compatibility requires that workers can never exceed the contracted hours in addition hours will be set so that vmp exceeds the disutility of employment consequently being paid more than their vmp is only sufficient not necessary for workers to be constrained to work less than they wish

the opportunity cost of capital and optimal vessel size in the norwegian fishing fleet we test for optimal vessel size in the norwegian fishing fleet using cross section data for the period 1969 73 with the prevailing interest rate defined as the opportunity cost of capital the conrad unger conditions for static optimality in vessel size are rejected for each year however using alternative values of the opportunity cost of capital existing vessel size is shown to be near optimal we conclude that individual transferable catch quotas could be introduced to regulate the fishery allowing for efficient harvesting but imposing minimal restrictions on vessel size

communication commitment and growth abstract we study the effect on the growth of an economy of alternative financing opportunities in a stochastic growth model with incentive constraints efficient accumulation mechanisms are designed and computed for economies that differ in their incentive structure we show that when borrowing is subject to information constraints there is a computable efficient transfer mechanism that does not affect capital accumulation and investment patterns even though consumption patterns and the distribution of wealth are affected in contrast enforcement constraints can severely reduce the outside financing opportunities and affect investment patters and economic growth we adapt numerical algorithms for obtaining numerical solutions of these models

a test of dual labor market theory despite substantial differences in their views of the appropriate policy response to the existence of poverty neither the proponents of dual market theory nor its critics have proposed potentially conclusive tests of the dual market hypothesis this paper presents a test of the two central propositions of dual market theory 1 the existence of two distinct labor markets with different wage setting mechanisms and 2 the existence of barriers to mobility between the labor markets we find considerable support for both hypothesis estimation of a switching model of wage determination with unknown regimes yields two distinct wage equations the one which most workers are associated with closely resembles the standard human capital regression with significant returns to education and experience the other equation is flat with no returns to human capital these two equations resemble the predictions of dual market theory for the primary and secondary markets respectively further we present evidence that at least some non white workers are involuntarily confined to the secondary market this crowding of minority workers into the low wage labor market accounts for a substantial portion of white non white wage differences we interpret these results as providing empirical support for the dual market hypothesis and for recent theoretical work on efficiency wagemodels in addition combining the efficiency wage argument with the observation that much of the white non white wage difference is explained by the exclusion of non whites from the primary sector suggests an explanation for the persistance of wage differences this abstract was borrowed from another version of this item

on the existence of a stationary optimal stock for a multi sector economy a primal approach abstract using a purely primal approach we show the existence of a non trivial stationary optimal stock for a multi sector economy our result generalizes earlier work by dropping the productivity assumption and by replacing the continuity hypothesis on the utility function by upper semicontinuity

convergence of equilibria in an intertemporal general equilibrium model a dynamical system approach abstract in this paper we show that searching pareto optima in an intertemporal equilibrium model is equivalent to solving a family of mckenzie models defined by a vector of the unit simplex we use negishi s method to prove the existence of equilibria we then extend scheinkman s method to demonstrate that when the discount factor of the utility functions is sufficiently near one every equilibrium trajectory converges to a steady state

a note on itqs and optimal investment abstract this paper considers the incentives to invest under an itq management regime when labor is rewarded by the so called share system it is shown that the share system is likely to result in overinvestment under itqs labor market power of crew reflected in a high labor share of the catch might correct for this and might even prevent excessive investment when there is competition for a total catch quota

wages effort and incentive compatibility in life cycle employment contracts existing models of incentive compatibility in life cycle employment contracts arrive at different predictions partly because of the different kinds of contract breaking behavior allowed in them this paper sets out and classifies the full range of such behaviors argues that no model has yet incorporated all of them and examines the consequences of doing so in the context of lazear s well known model in the extended model wages cannot rise faster than marginal products throughout the entire contract and the set of feasible contracts can often be empty even when both parties can commit to terminate the contract whenever it is broken by the other party

turnpike theorems in nonconvex nonstationary environments this paper provides a comprehensive development of turnpike theory in a stochastic aggregative model with time varying nonconvex technology a new approach to turnpike theorems is developed that exploits the monotonicity of optimal programs and utilizes a supermartingale process generated by stochastic euler equations this extends the classical turnpike theory to general nonconvex nonstationary environments copyright 1997 by economics department of the university of pennsylvania and the osaka university institute of social and economic research association

production technology costs and multiproduct industry structure an application of the long run profit function to the new england fishing industry the long run multiproduct profit function is developed to provide a more general procedure than the static minimum cost function to examine the technological and cost determinants of multiproduct industry structure and the likely form of any market equilibrium in this approach outputs are endogenous and the long run equilibrium levels of quasi fixed factors are endogenously determined the multiproduct structure of the multispecies new england fishing industry and the likely multi

h ours constraints and the wage hours locus surveys in the united states and canada reveal that approximately half of all workers would like to work a different number of hours per week if they could continue to receive their usual hourly wage of these about two thirds would like to work more hours and one third would like to work fewer hours kahn and lang 1991 shank 1986 despite the apparent prevalence of hours constraints the reasons why they exist are poorly understood in previous research we showed that lazear s 1981 agency model of the return to seniority is inconsistent with the data and that the specific capital model and insurance based implicit contract models cannot account for important regularities kahn and lang 1992 1995 in this paper we examine whether hours constraints can be explained by the existence of a hedonic wage hours locus we find that the actual wage hours locus is reasonably consistent with the wage hours locus predicted by observed hours constraints when the hedonic model is augmented by considerations of long term contracting we conclude that despite data and estimation shortcomings hedonic choices are an important reason for hours constraints to exist

markets and rent dissipation in regulated open access fisheries abstract using a model of regulated open access resource use with markets we illustrate the potential complexity of interactions between markets product quality excess effort and regulatory behavior in fisheries our model assumes two product types one of which is processed and storable the model describes the equilibrium that results when effort responds to open access incentives and when regulators respond to effort growth by mitigating its potential harmful effects on biomass safety we use numerical simulations to demonstrate a mechanism by which market growth leads to the diversion of raw inputs into the inherently inferior market the result is a scenario in which rents are dissipated not only because excessive inputs raise costs but also because inferior product types reduce revenues we conclude with an illustrative decomposition of rent gains into revenue and cost savings gains from rationalizing a hypothetical fishery demonstrating the potential significance of market side rents

stochastic turnpike property and stationary equilibrium abstract i study the stability properties of a stochastic equilibrium growth model with a finite number of infinitely lived consumers the exogenous stochastic environment is represented by a stationary stochastic process that influences preferences technology and primary resources consumers maximize the expected sum of discounted utilities production is intertemporal and primary resources are assumed to be necessary for the production of capital goods by adapting standard assumptions in general equilibrium theory and turnpike theory i show that if consumers have homogeneous discount factors close enough to one the allocation of an interior equilibrium converges to the allocation of a stationary equilibrium with transfer payments this result is used to prove the existence of a stationary equilibrium

labor supply preferences hours constraints and hours wage tradeoffs in a labor market with tied hours wage packages and wage dispersion for a particular type of job constrained workers may be willing to sacrifice wage gains for better hours when changing jobs likewise workers may accept jobs offering undesirable hours only if the associated wage gains are large we investigate this issue empirically by examining whether overemployment and underemployment on the initial and new job affects the relation between hours changes and wage changes for quitters our results generally support the view that an individual requires compensation to work in a job that given the individual s particular preferences offers unattractive hours

public regulation and the structure of production in multiproduct industries an application to the new england otter trawl industry this article considers the problem of managing multispecies fishing industries as one of regulating the production of individual multiproduct firms the multispecies new england otter trawl industry is examined within this framework empirical results derived from estimating a multiproduct profitfunction indicate that management consistent with the structures ofmultiproduct production and costs would directly regulate inputs little support is provided for applying the traditional bioeconomic model to the fishery studied

unemployment and liquidity constraints summary we present a dynamic framework for the interaction between borrowing liquidity constraints and deviations of actual hours from desired hours both measured by discrete valued indicators and estimate it as a system of dynamic binary and ordered probit models with panel data from the panel study of income dynamics we analyze a household s propensity to be liquidity constrained by means of a dynamic binary probit model we analyze qualitative aspects of the conditions of employment namely whether the household head is involuntarily overemployed voluntarily employed or involuntarily underemployed or unemployed by means of a dynamic ordered probit model we focus on the possible interaction between the two types of constraints we estimate these models jointly using maximum simulated likelihood where we allow for individual random effects along with an autoregressive process for the general error term in each equation a novel feature of our method is that it allows for the random effects to be correlated with regressors in a time invariant fashion our results provide strong support for the basic theory of constrained behavior and the interaction between liquidity constraints and exogenous constraints on labor supply copyright 2007 john wiley sons ltd

measuring potential rents in the north sea herring fishery this paper assesses the potential for rent generation in the north sea herring fishery the assessment distinguishes between rents and intra marginal profits the sum of which constitutes variable profits in the fishery a bioeconomic model combining fish population dynamics and the economics of the fishery is constructed to allow the computation of these different components of profits in order to assess the dynamics of both rents and intra marginal profits the model is computed under various assumptions with regard to price costs and discount rates potential total profits are measured at 88 to 89 million annually of which rents make up about 87 million with intra marginal profits measured in the order of only 2 million the study further shows that in this fishery rent is dissipated mainly due to excess effort but also due to suboptimal stock size

resource rent in individual quota fisheries traditional fisheries management schemes generate incentives for vessels to maximize catch resulting in rent dissipation and overcapacity individual vessel quota management schemes change the incentives to maximize profit and have the potential to generate resource rent and reduce capacity an interesting question is whether it is the changed incentives due to individual quota or the capacity reduction due to transferability of individual quota that is most important in generating rent in this study a cost function approach is used to model and measure rent generated and potential rent in a fishery managed with individual vessel quotas

cost structure and capacity in the norwegian pelagic fisheries the parameters of the short run cost function are estimated for three vessel types taking part in the norwegian pelagic fisheries purse seine vessels trawlers and coastal vessels the generalized translog functional form is used estimates of returns to scale are calculated and the results indicate that there are substantial economies of scale in all vessel classes it is further investigated whether excess capacity varies with vessel size and age the analysis suggests increased quotas per vessel to avoid rent dissipation with the total allowable catch given the number of participating vessels must be reduced

landing fees versus fish quotas the relative efficiency of landing fees versus quota controls to achieve given escapement levels is examined the criterion is profit per year over a given time horizon the model employed is a discrete version of the logistic model where growth is influenced by a random variable simulations are used to compare landing fees and quota controls under imprecise stock estimates variable availability of fish and random fish prices while ecological uncertainty combined with imprecise stock estimates favors fee control as shown byweitzman the opposite can be the case under uncertainty about the availability of fish or fish price

constraints on the choice of work hours agency versus specific capital lifetime contracts imply that at a given time wages and value of marginal product vmp will diverge the contract will specify hours as well as wages since firms will desire to prevent workers from working more when the wage is greater than vmp and from working less when the wage is less than vmp if hours are set efficiently workers will face binding hours constraints the agency model and the firm specific capital models make opposite predictions regarding the relation between work hours constraints and job tenure we test these predictions our results indicate that neither model explains the observed pattern of hours constraints

estimation of a labour supply model with censoring due to unemployment and underemployment this study proposes and implements a method of labour supply estimation which is appropriate when the sample contains unemployed and underemployed workers the estimation method consists of excluding unemployed and underemployed workers from the sample and then using to avoid selection bias an extension of heckman s approach to the case where two correlated selection rules generate the sample hausman s specification test is then used to determine whether ignoring constrained workers has led to biases in traditional labour supply estimates and the empirical results suggest that previous estimates of several important parameters are biased since the biases go in the direction that would be predicted by the hypothesis that the unemployed and underemployed are constrained the results support this hypothesis

the effects of hours constraints on labor supply estimates almost all labor supply models are estimated under the assumption that workers are free to choose their hours however theory casual empiricism and survey data suggest that many workers are not free to vary the hours within a job consequently labor supply estimates based on actual hours of work may be biased using canadian data on desired hours of work the authors find that using actual hours causes labor supply estimates to be biased upwards copyright 1991 by mit press

productivity development in icelandic norwegian and swedish fisheries this article analyses the total factor productivity tfp performance of fisheries in iceland norway and sweden during the period 1973 to 2003 we measure tfp growth using real gross value added as output and capital input labour input and a stock input index based on the major fish stocks in developed neighbouring countries we expect rapid diffusion of fishing technology innovations contributing to productivity convergence in addition innovations in the public regulation and the industrial organization may also have influenced productivity growth during the period we find that iceland had the highest annual tfp growth accounting for stock changes it amounts to 3 while the corresponding figures for sweden and norway are 2 8 and 0 8 respectively despite best practice fishing technologies being widely available we find no evidence of productivity convergence among the three countries