A multifunctional subsidy in aquaculture: an empirical application and its effects on the market
New Medit, vol 8, n. 3, suppl. (September 2009), pp. 11-16
Jel classification: Q180, Q220
Moving from the assumption that any productive activity wield influence over the environment, the human health and its socio-economic context, closely dependent on the production techniques, the aim of this work is to evaluate the effects of a subsidy that awards a prize to the fish breeders adopting production techniques which have a reduced impact on the environment thereby reducing the unemployment rate in the area where they work and supporting a further consumption of fish products. After having classified positive and negative external effects and the areas on which they have an impact, an indicator has been calculated as monetary value that a breeder would receive in case of a positive effect, or would give in order to pay damages in case of a negative effect. The market equilibrium effects of a support were studied by a direct survey that investigates the consumer willingness to pay a premium price for a bred fish that does not pollute the environment.
impact on the environment, willingness to pay (WTP), fish breeding