AbstractsEconomics

The general purpose of this study was to formulate and conduct an economic analysis of some issues associated with managing commercial salmonid resources in Oregon. Since the Fish Commission of Oregon has the responsibility for managing these resources, it provides the institutional framework for this study. Within this framework, the following specific objectives were established: 1. To identify, in a predictive sense, an aggregate production function for the hatchery operations of the Commission. 2. To identify implications of the statistically determined function. 3. To theoretically relate hatchery production of salmonids to the allocation of harvesting resources in salmonid fisheries. 4. To offer theoretical explanations for any escapement of salmonids from the fishery in excess of the amount which is needed to maintain salmonid populations at selected levels over time. Data on hatchery operations were obtained for 15 major hatcheries operated by the Fish Commission during the time period from the beginning of October in 1968 through April of 1970. Least-squares multiple regression techniques were used to estimate linear and log-linear hatchery production functions. The equations which were estimated included a food variable which was reasoned to be a proxy variable for the operating expenses other than food expenditures and fixed facilities. The estimated equations also contained a variable which represented water temperatures for May through October and a similar variable representing water temperatures for November through April. Estimation of the equations resulted in tentative acceptance of hypotheses that the Commission combines inputs in fixed proportions and realizes constant returns to size from its hatchery operations. Results of estimation also indicated that water temperatures can adversely affect hatchery output when they enter the upper and lower portions of the observed temperature range, and that possibilities exist for substituting water temperature control for the food variable. Theoretical constructs used to examine effects of hatchery production on allocations of harvesting resources to salmonid fisheries indicated that, given open-access, excessive harvesting resources can enter the fisheries as a result of hatchery production. Theoretical constructs also indicated that some regulatory policies which are applied in salmonid fisheries can cause escapement of salmonids from the commercial fisheries to be in excess of the amount needed to maintain salmonid populations at selected levels.