In progress (selected)

A bayesian estimation of the economic effects of the Common Fisheries Policy on the Galician Fleet: a dynamic stochastic general equilibrium approach with E. Colla, J. García-Cutrín, M.J. Gutiérrez and R. Prellezo,   Forthcoming in Ocean and Coastal Management [2017 Impact Factor: 2.276. Q2 (26/90), Water Reosurces]

What would have happened if a relatively looser fisheries policy had been implemented in the European Union (EU)? Using Bayesian methods a Dynamic Stochastic General Equilib- rium (DSGE) model is estimated to assess the impact of the European Common Fisheries Policy (CFP) on the economic performance of a Galician (north-west of Spain) fleet highly dependant on the EU southern stock of hake. Our counterfactual analysis shows that if a less effective CFP had been implemented during the period 1986-2012, ‘fishing opportunities” would have increased, leading to an increase in labor hours of 4.87%. However, this increase in fishing activity would have worsened the profitability of the fleet, dropping wages and rental price of capital by 6.79% and 0.88%, respectively. Welfare would also be negatively affected since, in addition to the increase in hours worked, consumption would have reduced by 0.59%.

Input controls and overcapitalization: a general equilibrium analysis of the Spanish Mediterranean Sea fisheries with J. Sempere, R. Prellezo and L. Taboada-Antelo,   Submitted under revision in Fisheries Research [2017 Impact Factor: 1.874. Q2 (14/50), Fisheries]

General equilibrium analysis shows that regulation based on caps on working hours per vessel affect the entry/exit margin (more low productivity vessels stay in the fishery), wages (a less pro- ductive fleet implies lower equilibrium wages) and aggregate employment allocated to the sector. Although the total number of vessels increases, in a general equilibrium setting, total employment in the fishery is reduced and the aggregate rents generated in the fishery are lower. Moreover, regulatory policies based on input controls also affect capital dynamics across the stock recovery phases. In comparison with a fishery regulated via efficient instruments, we find that those dynam- ics are characterized by fewer exits of vessels. Finally, using data from the Western Mediterranean Sea, we show that the use of input controls gives rise to a Spanish fleet around 14 percent larger than the one that would result from a non-distortionary instrument.