EconPapers    
Economics at your fingertips  
 

Measuring the value of ecosystem-based fishery management using financial portfolio theory

Itsaso Carmona, Alberto Ansuategi, Jose Chamorro (), Marta Escapa (), María Carmen Gallastegui, Arantza Murillas and Raúl Prellezo

Ecological Economics, 2020, vol. 169, issue C

Abstract: We highlight the potential benefits of adopting Ecosystem-based Fishery Management (EBFM). We compare the EBFM implementation with the more traditional single-stock approach. We show the contribution of the portfolio theory to the EBFM, which can be achieved by selecting an optimal portfolio to maximise the average revenues and minimise the variance. We use this approach to construct two frontiers: the ecosystem efficient frontier, which considers stock interactions (the variance-covariance matrix), and the stock efficient frontier, only considering individual stock variances.

Keywords: Inshore fishery; Fishery management; Stock correlations; Risk gaps; Diversification (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0921800919301429
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolec:v:169:y:2020:i:c:s0921800919301429

DOI: 10.1016/j.ecolecon.2019.106431

Access Statistics for this article

Ecological Economics is currently edited by C. J. Cleveland

More articles in Ecological Economics from Elsevier
Bibliographic data for series maintained by Haili He ().

 
Page updated 2020-07-07
Handle: RePEc:eee:ecolec:v:169:y:2020:i:c:s0921800919301429