Bosetti, Valentina; Tomberlin, David - Fondazione ENI Enrico Mattei (FEEM) - 2004
-entry fishery. Because exit from limited-entry fisheries may be irreversible, the fisherman has an incentive to maintain the right … to fish (whether by actually fishing or by purchasing an annual license) even when the fishery is not profitable, in the … hope that conditions may improve. This incentive provides at least a partial explanation for excess capacity in fishing …