Benefits From R&D and Spill-Overs in Aquaculture: An Eu-15 Modelling Approach Public Deposited

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  • Aquaculture is increasingly important for the future supply of fish because of steadily increasing demand while supply from fisheries is stagnating. In the EU aquaculture production has grown strongly in some countries, such as Spain and Greece, but was flat at a low level in others, such as in Germany, where national aquaculture production contributes only little to total supply of fish for food. Despite the small size of their aquaculture industries some German states have initiated sizeable aquaculture R&D-programs with the objective to foster local aquaculture industries. This study analyses economic effects of aquaculture R&D from the perspective of a country whose aquaculture industry is small in relation to the EU market and which has to consider significant R&D-spill-overs in addition to the usual impacts of R&D on producers' costs and consumers' consumption expenses. Based on fish market characteristics for EU-15-countries three scenarios are investigated using IFPRI´s Dynamic Research Evaluation for Management (DREAM) model. In the first scenario R&D-effects only take place in German aquaculture production and no spill-overs to other countries occur. The second scenario allows for spill-overs of technologies from Germany to all other EU-15-countries. Time lags for the transmission of technologies to the remaining EU-15-countries are introduced in the third scenario. DREAM computes the effects of R&D for producers and consumers: changes in quantities and prices of fish from aquaculture leads to changes in producer and consumer surplus. The results of this paper provide important implications for political decisions concerning the allocation of public funds for R&D-projects in aquaculture.
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  • Guettler, Stefan and Rolf A.E. Mueller. 2010. Benefits From R&D and Spill-Overs in Aquaculture: An Eu-15 Modelling Approach. 12 pages. In: Proceedings of the Fifteenth Biennial Conference of the International Institute of Fisheries Economics & Trade, July 13-16, 2010, Montpellier, France: Economics of Fish Resources and Aquatic Ecosystems: Balancing Uses, Balancing Costs. Compiled by Ann L. Shriver. International Institute of Fisheries Economics & Trade, Corvallis, Oregon, USA, 2010.
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