This means that you cant fish down a stock to a

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: you can't fish down a stock to a certain level of "no return". Mart Brisson, 2014-02-28 Value ($) Natural capital Human-produced capital The economics of overexploitation Natural capital Human-produced capital Value ($) BIO 3115 Conservation Biology Time Natural capital Natural capital can be converted to human-produced capital. If the rate of return on humanproduced capital is greater than the rate of return on natural capital, it makes (short-term) economic sense to convert the latter to the former. Human-produced capital M7.19 BIO 3115 Université d’Ottawa / University of Ottawa 2012 Total profit maximized at E1, but individuals can still make a profit up to E2 Therefore, individual decisions will tend to increase effort towards E2, beyond that which results in maximum profits for the group as a whole... …and as effort increases, so does the harvest. Hence, overexploitation risk increases. Revenues and costs Overexploitation risk in common property harvesting: the commons revisited Total revenues Total costs E2 E1 Effort M7.20 BIO 3115 Université d’O...
View Full Document

This document was uploaded on 03/11/2014 for the course BIO 3115 at University of Ottawa.

Ask a homework question - tutors are online