The Review of Economics and Statistics Vol. 55 No. 1 1973
Dynamic Economic Management of Migratory Waterfowl
Abstract
M ANY individuals derive satisfaction through hunting waterfowl. The utility of the birds as a consumption good implies that some scarce resources, primarily ponds and breeding birds, should be devoted to game production. The migratory nature of the wildfowl precludes a conventional system of property rights and prevents market determination of optimal resource quantities to be devoted to production. In general, the production of waterfowl requires the use of Canadian natural resources but more than two-thirds of the birds are consumed by United States hunters, thereby creating an externality of international scope. Precise hunting regulations are established by each state under the general supervision of the federal government. Since no evidence indicates trade in this commodity among the states, an additional jurisdictional externality is created. In the model to be developed, we identify the transient and steady-state management conditions necessary to achieve a social optimum. Subsequent applied analysis pertains only to the steady-state situation. We can anticipate conclusions from the applied analysis, to be developed in due course. Because farmers obtain revenue from agricultural crops grown on drained wetlands but do not receive revenue from the crop of waterfowl raised on ponds left in their natural state, North American wetlands are being drained more rapidly than the economically optimum rate. Indeed, we believe the optimum situation requires creating, not draining, wetlands. Expansion of the absolute number of breeders is also required, although optimal input proportions are obtained through a lesser relative increase in this factor.
- DOI
- 10.2307/1927996
- Volume
- 55
- Issue
- 1
- Pages
- 73
- Sources
- openalex crossref