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A Stochastic Production Frontier Model of the Newfoundland Snow Crab Fishery

By Noel Roy


Abstract. Since the collapse of the Newfoundland groundfishery in 1992, the snow crab fishery has become Newfoundland’s largest fishery, accounting for approximately half the value of total landings. This study uses trip log data to estimate the production frontier and the technical efficiency of this fishery using a Stochastic Frontier Analysis (SFA) methodology. The analysis is based on over 11,000 observations taken over a five-year period. The technical efficiency of the fishery is estimated to be at a level of fifty percent or less

Topics: Stochastic Frontier Analysis, technical efficiency, production front ier, Newfoundland snow crab
Year: 2015
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