6533b7d7fe1ef96bd126853f

RESEARCH PRODUCT

ECONOMIC EVALUATION OF AQUACULTURE INVESTMENTS UNDER CONDITIONS OF RISK AND UNCERTAINTY IN THE MEDITERRANEAN SEA

Salvatore TudiscaFilippo SgroiAnna Maria Di TrapaniRiccardo Testa

subject

Multidisciplinarybusiness.industryNatural resource economicsInvestment (macroeconomics)FisheryCompetitiveness Farms European Sea Bass Expected Incomes ProbabilityMediterranean seaAquacultureAgricultureSettore AGR/01 - Economia Ed Estimo RuraleEconomic evaluationEconomicsAlternative investmentSubmarine pipelinebusiness

description

This study aims to analyze, from a technical and ec onomic point of view, the choice between alternative investments in aquaculture under condit ions of risk and uncertainty. In particular, a comparative analysis has been conducted between an inshore and an offshore farm producing European sea bass in the Mediterranean Sea. The app lied model refers to the theory of subjective probability, assigning a different probability to e xpected incomes during the investment period. Resul ts show an economic convenience of inshore with respect to offshore farming.

https://doi.org/10.3844/ajassp.2014.1727.1734