Northeast Fisheries Science Center’s Seminar Series


Econometric Estimates of Productivity and Efficiency Change in the Australian Northern Prawn Fishery


Thursday, May 14, 2015    12:00 – 1:00

Stephen Clark Conference room, NEFSC


Chris O’Donnell

Centre for Efficiency and Productivity Analysis, Department of Economic, University of Queensland, Brisbane, AU

Abstract:  This paper shows how a short time-series can be used to compute a new total factor productivity index that satisfies a suite of common sense axioms from index number theory.  This index can be computed without any information on prices.  It also has the important property that it can be decomposed into measures of technical change, environmental change, input quality change, technical efficiency change, and scale-mix efficiency change.  This decomposition is exhaustive and exact.   To illustrate, Bayesian methods are used to estimate the drivers of productivity change in the Australian Northern Prawn Fishery.   Results are summarised in terms of characteristics of estimated posterior pdfs.  Changes in productivity, input quality, and scale efficiency are found to be strongly linked to changes in fishery management.