Search

The economic performance of the current inshore rock bream aquaculture industry conducted in Yeosu, Korea was compared with a pilot commercial scale offshore aquaculture farm in Jeju, Korea. Data was collected from 12 inshore farms and two production cycles of the offshore farm for use in Monte Carlo simulations run over a ten year time horizon. Net present value was compared for the inshore farms and two survival rate scenarios for the offshore farm. The offshore farm is expected to have a higher survival rate if it can withstand tsunamis and avoid pollution, disease and red tide impacts that are prevalent inshore. When the offshore farm was modeled with its observed higher survival rate, its average net present value ($1,016,483) significantly outperformed the inshore farms average net present value ($182,153). In the second scenario, the offshore farm survival rate was lowered based on performance data from the inshore farms. Not surprisingly, given the higher investment costs, the offshore farm perfor...

A multinomial logit discrete choice model is estimated using data collected from a survey of documented boat owners to examine the factors that determine the boater's choice of state of principal use. Travel time and perceived boating quality significantly influence boater choice, but excise taxes that must be paid depending on the state in which the boat is located only negatively influence location choice at extremely high tax levels and only for high income boaters. It is unlikely that a state such as Maryland, which has a relatively high excise tax rate on boaters, could entice more boaters to keep their boats there, simply by lowering the tax rate from 5% to 4%. A more effective means of attracting boaters would be to maintain or improve coastal quality and make potential boaters aware of the improvement.