Consumption externalities in a commercial fishery: the Queensland beam trawl fishery

Demand and contingent valuation models are used to analyze survey data obta ined from a sample of recreational boat and shore fishers in southern Queen sland. The value of the recreational fishery to the average fisher in the s ample and the value of marginal increases in catches of target species are estimated. These estimates are used to calculate the value of Pigovian tare s representing the marginal cost of catch and congestion externalities impo sed by the beam trawl fishery on the recreational fishery. The results sugg est that the cost of these externalities does not justify the closure of th e beam trawl fishery.