An Inverse Demand System for New England Groundfish: Welfare Analysis of the Transition to Catch Share Management

The welfare effects of the 2010 transition from Days-at-Sea to catch share management in the Northeast U.S. groundfish fishery are examined by combining a model of groundfish demand with a simulation-based model of supply. Counterfactual supply is constructed based on the Days-at-Sea system that was recalibrated to meet mandated conservation goals. Due to the decreases in catch that were required to meet those goals, the 2010 policy undoubtedly resulted in worse outcomes for both producers and consumers compared to 2009. However, the conservation-equivalent Days-at-Sea system would have been far worse for both consumers and producers. Copyright 2013, Oxford University Press.