Work

Reference-Dependent Preferences in Gulf of Mexico Shrimpers' Fishing Effort Decision

Year: 2014

Type: article

Abstract: This paper provides empirical evidence that reference-dependent preferences help to explain the amount of effort exerted by shrimpers in the Gulf of Mexico. Using survival analysis, the authors find that shrimpers tend to prolong their trip when their current trip revenue goal remains unattained. Furthermore, this tendency became more pronounced after 2001 in association with a significant decline in the shrimp price. This may partially explain the less obvious decrease in fleet effort vis-à-vis sharp decline in fleet size following the price change.

Source: RePEc: Research Papers in Economics

DOI: 10.22004/ag.econ.168257

Authors: Ran, Tao, Keithly, Walter R., Yue, Chengyan

Institutions: University of Minnesota, Louisiana State University

Language: English

Topic: Decision-Making and Behavioral Economics

Subfield: General Decision Sciences

Field: Decision Sciences

Domain: Social Sciences

SDG: Life below water

Open Access status: green

Funder: National Oceanic and Atmospheric Administration