Browsing by Author "Sanchirico, JN"

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    Asset pricing in created markets
    (American Journal of Agricultural Economics, 2007-05-01) Newell, RG; Papps, KL; Sanchirico, JN
    We investigate the applicability of the present-value asset pricing model to fishing quota markets by applying instrumental variable panel data estimation techniques to 15 years of market transactions from New Zealand's individual transferable quota (ITQ) market. In addition to the influence of current fishing rents, we explore the effect of market interest rates, risk, and expected changes in future rents on quota asset prices. The results indicate that quota asset prices are positively related to declines in interest rates, lower levels of risk, expected increases in future fish prices, and expected cost reductions from rationalization under the quota system. © 2007 American Agricultural Economics Association.
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    Fishing quota markets
    (Journal of Environmental Economics and Management, 2005-05-01) Newell, RG; Sanchirico, JN; Kerr, S
    In 1986, New Zealand responded to the open-access problem by establishing the world's largest individual transferable quota (ITQ) system. Using a 15-year panel dataset from New Zealand that covers 33 species and more than 150 markets for fishing quotas, we assess trends in market activity, price dispersion, and the fundamentals determining quota prices. We find that market activity is sufficiently high in the economically important markets and that price dispersion has decreased. We also find evidence of economically rational behavior through the relationship between quota lease and sale prices and fishing output and input prices, ecological variability, and market interest rates. Controlling for these factors, our results show a greater increase in quota prices for fish stocks that faced significant reductions, consistent with increased profitability due to rationalization. Overall, this suggests that these markets are operating reasonably well, implying that ITQs can be effective instruments for efficient fisheries management. © 2004 Elsevier Inc. All rights reserved.
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    Reexamining the science of marine protected areas: Linking knowledge to action
    (Conservation Letters, 2012-01-01) Fox, HE; Mascia, MB; Basurto, X; Costa, A; Glew, L; Heinemann, D; Karrer, LB; Lester, SE; Lombana, AV; Pomeroy, RS; Recchia, CA; Roberts, CM; Sanchirico, JN; Pet-Soede, L; White, AT
    Marine protected areas (MPAs) are often implemented to conserve or restore species, fisheries, habitats, ecosystems, and ecological functions and services; buffer against the ecological effects of climate change; and alleviate poverty in coastal communities. Scientific research provides valuable insights into the social and ecological impacts of MPAs, as well as the factors that shape these impacts, providing useful guidance or "rules of thumb" for science-based MPA policy. Both ecological and social factors foster effective MPAs, including substantial coverage of representative habitats and oceanographic conditions; diverse size and spacing; protection of habitat bottlenecks; participatory decisionmaking arrangements; bounded and contextually appropriate resource use rights; active and accountable monitoring and enforcement systems; and accessible conflict resolution mechanisms. For MPAs to realize their full potential as a tool for ocean governance, further advances in policy-relevant MPA science are required. These research frontiers include MPA impacts on nontarget and wide-ranging species and habitats; impacts beyond MPA boundaries, on ecosystem services, and on resource-dependent human populations, as well as potential scale mismatches of ecosystem service flows. Explicitly treating MPAs as "policy experiments" and employing the tools of impact evaluation holds particular promise as a way for policy-relevant science to inform and advance science-based MPA policy. © 2011 Wiley Periodicals, Inc.