What Drives the Number of Semi-domesticated Reindeer? Pasture Dynamics and Economic Incentives in Fennoscandian Reindeer Husbandry

All Nordic countries regulate the maximum number of reindeer. However, long-term grazing pressure by reindeer together with the effects of forestry and other land uses raise concern regarding the possible overgrazing of the important winter lichen pastures. Understanding the dynamics between pastures and the reindeer population is imperative for determining the size of sustainable reindeer populations. Governmental regulation and subsidy systems additionally create economic incentives and set restrictions on reindeer management. Current herd sizes are, thus, based on both biological and economic factors. In this chapter, we provide an economic-ecological model of a reindeer herding system that can be used to analyze how the various forces drive reindeer numbers. We first show how ecological and economic factors affect model results. We then use Finland as an example to demonstrate how bioeconomic analysis can be used as a tool for understanding the reindeer herding system. Finally, we discuss how current restrictions on the maximum number of reindeer relate to economically and ecologically sustainable model solutions.