BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

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BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND ATLANTIC MACKEREL FISHERIES DYNAMICS Michael S. Press, MEM Candidate Dr. Martin Smith, Advisor Master’s Project submitted in partial fulfillment of the requirements for the Master of Environmental Management degree Nicholas School of the Environment Duke University April 2009

Transcript of BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

Page 1: BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN

TUNA AND ATLANTIC MACKEREL FISHERIES DYNAMICS

Michael S. Press, MEM Candidate

Dr. Martin Smith, Advisor

Master’s Project submitted in partial fulfillment of the requirements for the Master of Environmental Management degree

Nicholas School of the Environment Duke University

April 2009

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Abstract BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

ATLANTIC MACKEREL FISHERIES DYNAMICS

by

Michael Press

April 2009 Following the discovery of acute mercury toxicity from seafood consumption in the 1950s and subsequent research into mercury in the environment, scientists and managers now recognize the health threats of mercury poisoning from seafood consumption, especially in fetuses, infants, and children. Unfortunately, consumers remain confused or uneducated about species-specific mercury concentrations, thus perpetuating the risks associated with contaminated seafood. This study models the bio-economic dynamics of a system involving two species consumed by humans: a highly mercury-contaminated predator, bluefin tuna, and a tuna prey fish with low levels of contamination, Atlantic mackerel. Model scenarios evaluate varying levels of mercury pollution, consumer aversion to mercury, and fishes’ biological resistance to mercury poisoning to determine optimal harvest rates and population sizes for both species. The results demonstrate that while the mackerel fishery remains largely unaffected by the influence of mercury, optimal harvest and population of tuna depend greatly upon their biological resistance to mercury and consumers’ aversion to purchasing mercury-contaminated fish. When resistance to mercury is low, both tuna population and harvest decrease. When consumer aversion is high, harvest decreases and population increases. Increased mercury pollution exacerbates both effects. Due to lack of previous such studies and the paucity of empirical data, this research is both exploratory and qualitative in nature. Effective fisheries conservation and management requires understanding the strength of both fish resistance and consumer aversion to mercury. Future research should address the lack of empirical data, both biological and economic, as well as refine the above model in order to assist managers in appropriate consumer education and setting fisheries management goals that couple sustainability and public health.

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TABLE OF CONTENTS

Introduction…………………………………………………………………………………….3

Background and Motivation……………………………………………………………………4

The Contaminated Fisheries Model……………………………………………………………5

Model Parameterization………………………………………………………………………..16

Visualizing Model Dynamics…………………………………………………………………..21

Interpretation of Contaminated Fisheries Model…………………………………...……….....36

Alternative Model Including Stock Effects…………………………………………………….37

Discussion………………………………………………………………………………………40

References………………………………………………………………………………………43

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INTRODUCTION

In recent years, scientists and consumers alike have recognized the increased threat of

mercury poisoning from fish and seafood consumption. The ecological processes involving

mercury are studied widely and a number of studies have attempted to value the damage to

society due to mercury toxicity and the resulting illnesses, loss of IQ, and mental retardation

(Trasande, 2005). This paper attempts a bio-economic analysis of two mercury contaminated

fish species with different mean concentrations of mercury and different market prices within the

confines of an optimal fisheries management system. This technique models how concentrations

of mercury may influence fisheries by depressing market prices or affecting the population

resilience of mackerel, a mid-level predator, and tuna, a top level predator which preys upon

mackerel. Consumers eat both fish frequently, often raw in the form of sushi and sashimi, thus

making them valuable as study species. If the flow of information is sufficient such that

consumers understand the dangers of highly contaminated fish, and are also aware of the

differing levels of mercury in different fishes, prices of highly contaminated species could drop

relative to the prices of other species. Research supports such reduced demand for mercury-

contaminated fish (Shimshack et al., 2007). Also of concern is the population health of fish,

which several studies have shown to be negatively affected by high mercury concentrations

(Latif et al., 1999; Baker Matta, 2001; Kime, 1999; Beckvar, 1996). This project explores how

the amount of mercury pollution, the consumer perception of mercury dangers, and the damage

to fish populations resulting from high mercury bioaccumulation alter predator-prey relations

and the resulting composition of catches.

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BACKGROUND & MOTIVATION

Since the characterization of “Minamata Disease” in the 1950s (Harada, 1968), many

studies such as those conducted in the Faroe Islands (Budtz-Jorgensen E., et al., 2004), have

detailed the loss of IQ and increased incidence of mental retardation caused by mercury-

contaminated seafood, primarily in high trophic level predators such as fish, seabirds, and

mammals. Methylmercury, a compound resulting from bacteriological interactions with the

environment once emitted, represents the vast majority of mercury in fish and is highly toxic

(Clarkson, 2002; Wiener, 2003). Its relative chemical stability results in very long halftimes for

detoxification and bioaccumulation in marine predators (Wiener, 2003). Mercury readily crosses

the placental barrier resulting in both fetal blood concentrations 5-7 times higher than those in

maternal blood and subsequent degradation of fetal brain development despite the absence of

noticeable effects in the mother (Cernichiari, 1995). In response, health ministries around the

world including the United States Food and Drug Administration (FDA), the United States

Environmental Protection Agency (EPA), and the Agency for Toxic Substances and Disease

Registry (ATSDR) have set maximum standards for the presence of mercury in food (Clarkson,

2002). Recently, studies sampling fish in US sushi restaurants have uncovered mercury

concentrations higher than recommended intake guidelines and the FDA actionable limit

(Burros, 2008; Saddler, 2006).

About 30% of mercury deposition results from natural environmental events such as

volcanic activity, while the remaining 70% results from anthropogenic pollution (Wiener, 2003).

The United Nations Environment Programme (2002) estimates that human sources emit

approximately 5,500 metric tons of mercury every year. While the US currently only contributes

about three percent of total global anthropogenic mercury emissions (EPA, 2007), scientists and

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policymakers nonetheless fiercely debate policies to reduce US mercury emissions (Trasande,

2005; Trasande, 2006; Griffiths, 2007).

Some studies have attempted to address the economic and behavioral aspects of the

mercury problem. Trasande et al. (2005) used the environmentally attributable fraction model to

estimate that the costs of mercury in terms of lost lifetime earnings due to lowered IQ lie

between $0.7 billion and $13.9 billion. Booth and Zeller (2005) modeled the flow of mercury

throughout the Faroe Island ecosystem to determine mercury concentration effects based on the

consumption of pilot whales and cod. They found that once warned of high mercury levels,

women consumed less whale meat and more cod, thus reducing their exposure. Model

simulations showed increased mercury concentrations over time and changing biomass for

different marine species due to changing fishing pressure. However, neither of these studies

combines the biology, chemistry, and economics of mercury together in a dynamic fashion.

Other studies have modeled the bioeconomic dynamics of predator-prey management

systems (Hannesson, 1983; Ragozin and Brown, 1985; Kaplan and Smith, 2000). This paper

addresses a system in which fishers harvest both fish species and incorporates the additional

dynamics of mercury concentrations that vary between fish species and depend upon species

interactions. This approach allows the market to dictate the optimal extraction for both species

based on the concentrations of mercury in each species. Unfortunately, modeling the influence

of mercury in the environment complicates an interactive predator-prey model to an analytic

degree beyond the scope of this study. Consequently, the direct biological interactions between

tuna and mackerel stocks do not appear in this model. Instead, the species are linked through

their mercury concentrations.

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Bluefin tuna (Thunnus thynnus) and Atlantic Mackerel (Scomber scombrus) comprise the

species modeled in this study. Both fish are common on sushi menus and data on

methylmercury concentrations exist for both species. According to Nakagawa et al. (1997), the

mean concentration found in bluefin was 1.11 ppm and the mean concentration in mackerel was

0.27 ppm. These samples of fish eaten in Japan correspond similarly to FDA data for mackerel

indicating a mean mercury concentration of 0.05ppm (FDA, 2006) and Tyrrell’s (2004) findings

of <0.03ppm; no information specific to bluefin tuna is currently available from the FDA, but

other studies have found average concentrations of mercury in bluefin from 0.899 to 3.03 ppm

(Srebocan, 2007; Licata, 2005, Storelli, 2001). The FDA sets health standards at a maximum of

1 ppm, but has never enforced them (Oceana, 2008). It is likely, however, that because mercury

emissions continue to increase, mercury concentrations are constantly increasing and are likely

to be higher than the data indicate (Booth, 2005). Because Bluefin tuna readily consume

Atlantic mackerel (Chase, 2002), there results an interesting dynamic choice between eating the

two fish as fishing pressure on one species may affect mercury concentrations in the other.

The roles of these two fish species in the current market carry broader implications than

the dangers of methylmercury toxicity. Environmental Defense Fund (EDF), the Natural

Resources Defense Council (NRDC), and the Blue Ocean Institute, among others, have listed

Bluefin tuna as threatened by overfishing (Blue Ocean Institute, 2004; NRDC, 2006;

Environmental Defense Fund, 2008). However, Atlantic mackerel stocks rebounded after

overfishing in the 1970’s and the same environmental organizations above list this species as

ecologically safe to eat (Environmental Defense Fund, 2008). The implications of the model

results may then affect other critical choices about which fish to eat for ecological reasons, not

just those of personal health.

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THE CONTAMINATED FISHERIES MODEL

Initial research concentrated on the biological interactions between tuna and mackerel.

However, mathematical complexities inherent in modeling a predator-prey system combined

with the influence of mercury render the analytics prohibitively difficult and time-consuming for

the scope of this study. Consequently, while the model specifies the flow of mercury between

tuna and mackerel, trophic interactions affecting stocks are omitted for the sake of simplicity.

Logistic growth for each species is bounded by terms describing interactions between the

two species. The model for these interactions relies heavily on Kaplan and Smith (2000).

However, the model discussed below differs because both prey and predator are harvested rather

than just the prey and, as specified above, the state equations for the species omit inter-species

interactions. Because some studies have implicated mercury in reduced efficacy and

reproduction of fish (Baker Matta, 2001; Latif et al., 1999; Beckvar, 1996; Devlin, 1992; Khan

and Weis, 1987), the model includes these effects as well, with mercury represented as m. The

state equations for tuna, represented as x, and mackerel, represented as y, are

= x (a1 – a2x – Mtuna ) – htuna (1)

= y (b1 – b2y – Mmackψ) – hmack (2)

where h is harvest, a’s and b’s are growth parameters (Kaplan & Smith, 2000), and and ψ are

the reproductive damage to the respective fishes as a result of mercury loading. A third state

equation is necessary to model the flux of methylmercury in the environment

= F – φ m (3)

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where F is the flow of mercury into the marine environment and φ is the demethylation or rate of

flow of mercury out of the marine environment. Ambient, inorganic mercury enters the aquatic

system through atmospheric and terrestrial deposition and then, among many other processes,

bacteria methylate the mercury through interactions still not completely understood (Wiener,

2003). Methylmercury bioaccumulates readily and consequently, concentrations of mercury in

fish depend on the environmental concentration. The literature suggests that mercury which

enters the food web is passed upwards through trophic levels, and that most, but not all, mercury

passes upwards from one trophic level to another (Wiener, 2003). For simplicity’s sake we shall

assume that the change in concentration of methylmercury in mackerel is directly proportional to

the change in concentration of methylmercury in the environment. The following state equation

dictates the concentration of mercury in mackerel

mackM& = ζ (4)

where ζ is the parameter guiding the proportional flow of mercury into mackerel. This term

accounts for the rate of methylation and the almost complete transfer of mercury with ingestion.

The concentration of mercury in tuna relies on both the concentration of mercury in the mackerel

and how much mackerel the tuna consume. Therefore, the time derivative of the variable for

mercury concentration in mackerel is included in the state equation describing the concentration

of mercury in tuna

tunaM& = η

mackM& (5)

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Where η denotes the rate of mercury bioaccumulation in the tuna.

A standard fisheries optimal control problem attempts to maximize the present total value

net benefits of fishing—defined as the revenue from fish sales (price of the fish times the number

of fish sold)—minus the cost of fishing for the amount of fish sold. Constructing the objective

function for this problem involves the crucial assumption that the price at which fish are sold is a

function of the mean mercury concentration in an individual of that particular fish species.

Therefore, the goal of maximizing overall benefits in terms of fishing profits remains the same,

but is further influenced by prices which fluctuate based on the concentration of mercury in the

different fishes. Denoting the price of the fish in the market as p, the cost of catching the fish as

c, the amount of fish harvested as h, time as t, and the discount rate as δ, the objective function is

max∫∞

0

[( ptunahtuna – ctunahtuna2) + (pmackhmack – cmackhmack

2] dt (6)

subject to

ptuna = tunatunam

eγ−

(7)

pmack = mackmackm

eγ− (8)

and (1), (2), (3), (4), and (5) above. denotes the unaffected price and γ denotes the rate of price

decay with an increase in mercury. We shall assume that the price of each fish decays at the

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same rate for a given increase in mercury content. The Current Value Hamiltonian, where λ1, λ2, λ3, λ4, and λ5 denote the co-state variables for x, y, m, Mtuna, and Mmack, respectively, is

= [(ptunahtuna – ctunahtuna2) + (pmackhmack – cmackhmack

2)]

+ 1[x(a1 – a2x – Mtuna ) – htuna]

+ 2[y(b1 –b2y – Mmackψ) – hmack]

+ 3[F – φ m]

+ 4 [η mackM& ]

+ 5 [ζ ] (9)

If we assume that there are only two controls, htuna and hmack, and that the parameter for the flow

of mercury into the environment, F, is constant, then the First Order Conditions for this system

are

tunah

H

∂~

= Ptuna – 2Ctunahtuna – 1 = 0 (10)

mackh

H

∂~

= Pmack – 2Cmackhmack – 2 = 0 (11)

x

H

∂−

~= 1 – 1 = – 1[a1 – 2a2x – Mtunaω] = 0 (12)

y

H

∂−

~ = 2 – 2 = – 2[b1 – 2b2y – Mmackψ] = 0 (13)

m

H

∂−

~ = 3 – 3 = 3 φ = 0 (14)

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–tunaM

H

∂~

= 4 – 4 = γ tunatunam

eγ− = 0 (15)

mackM

H

∂~

= 5 – 5 = γ mackmackm

eγ−

= 0 (16)

= x[a1 – a2x – Mtunaω] – htuna (17)

= y(b1 – b2y – Mmackψ) – hmack (18)

= F – φ m (3)

mackM& = ζ (4)

tunaM& = η

mackM& (5)

While the flux of mercury is irregular and currently escalating as humans increase

mercury-emitting processes such as burning coal, should mercury emissions level off or be offset

by the rate of demethylation, the system may reach a steady state in which the variables do not

change from one time period to the next. A steady state such as this might also represent any

period in instantaneous time while the system is in equilibrium. Thus all state equations will

have a net change of zero. The steady state can be written as

= x[a1 – a2x – Mtunaω] – htuna = 0 (1’)

= y(b1 – b2y – Mmackψ) – hmack = 0 (2’)

= F – φm = 0 (3’)

mackM& = ζ = 0 (4’)

tunaM& = η

mackM& = 0 (5’)

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The above set specifies that the stocks of fish and the stocks of mercury do not change over time.

Likewise, because the stocks do not change, the shadow values for these stocks also do not

change over time

1 = δλ1 – λ1[a1 – 2a2x – Mtunaω] = 0 (12’)

2 = 2 – 2[b1 – 2b2y – Mmackψ] = 0 (13’)

3 = 3 + 3φ = 0 (14’)

4 = 4 + γ tunatunam

eγ− = 0 (15’)

5 = 5 + γ mackmackm

eγ−

= 0 (16’)

The goal now is to solve for the variables in steady state. This will help uncover the

structure of the system as it operates dynamically. From (3’) we obtain the steady state stock of

mercury in the environment at time τ

mss = ϕ

F (19)

Because also appears in the function for mackM& , we can substitute into (4) to obtain

mackM& = 0 (21)

Integrating from 0 to τ and solving yields

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Mmackss = ζ (F/φ – m0) (23)

Similarly, when substituting this expression into (5), integrating and solving yields

Mtunass = η [ζ (F/φ – m0) – Mmack

0] (24)

The previous steps provide the solutions in the form (19), (23), and (24) for the evolution of the

stock of mercury in (3), (4), and (5). Because the model assumes a constant flow of mercury into

the environment, no controls exist in the model for these variables. The interesting aspects of the

steady state are then the expressions defining the harvests, stocks, and co-state variables for tuna

and mackerel. From (10) and (11) we know that

λ1 = Ptuna – 2Ctunahtuna (25)

λ2 = Pmack – 2Cmackhmack (26)

Substituting into (12) and (13) yields

1 – (Ptuna – 2Ctunahtuna)δ =

– (Ptuna – 2Ctunahtuna) (a1 – 2a2x – Mtunaω) = 0 (27)

2 – (Pmack – 2Cmackhmack)δ =

– (Pmack – 2Cmackhmack) (b1 – 2b2y – Mmackψ) = 0 (28)

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This provides, in conjunction with (1’) and (2’), two systems of equations that can be solved for

the steady-state values of x and htuna, and y and hmack. Solving for htuna and hmack in (1’) and (2’)

results in

htuna = x[a1 – a2x – Mtunaω] (29)

hmack = y[b1 – b2y – M mack ψ] (30)

By substituting into (27) and (28) we obtain

0 = (2Ctuna (x (a1 – a2x –Mtunaω)) – Ptuna) (a1 – 2a2x – Mtunaω – δ) (31)

0 = (2Cmack (y (b1 – b2y –Mmackψ)) – Pmack) (b1 – 2b2y – Mmackψ – δ) (32)

Solving these cubics for x and y yields expressions defining the steady-state stocks of tuna and

mackerel.

tuna

tunatunatunatunatunatunatunass

Ca

MCCaPCaMCax

2

2121

4

)22(82 ωω −+−+−−= (33.1)

tuna

tunatunatunatunatunatunatunass

Ca

MCCaPCaMCax

2

2121

4

)22(82 ωω −+−−−−= (33.2)

2

1

2a

Max tunass ω−

= (33.3)

mack

mackmackmackmackmackmackmackss

Cb

MCCbPCbMCby

2

2121

4

)22(82 ζψ −+−−−−= (34.1)

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mack

mackmackmackmackmackmackmackss

Cb

MCCbPCbMCby

2

2121

4

)22(82 ζψ −+−+−−= (34.2)

2

1

2b

Mby mackss ψ−

= (34.3)

The controls for this system result in three solutions for each of the steady-state fish stocks, up to

two of which can be valid depending on the values of the parameters. The negative root solution

will never be optimal and so must be rejected as a steady-state equilibrium solution. We can

mitigate the complexity of these equations by visualizing the system in phase-space. Such

diagrams require an expression for the evolution of the harvests over time. By taking the time

derivatives of (25) and (26) and rearranging, we obtain

tuna

tunatuna

C

Ph

21λ&&

& −= (35)

mack

mackmack

C

Ph

22λ&&

& −= (36)

In turn, we can then rearrange (27) and (28) and substitute for 1 and 2 yielding

tuna

tunatunatunatunatunatuna

C

PMxaahCPh

2))(2( 21

&& +−−−−

=δω

= 0 (37)

mack

mackmackmackmackmackmack

C

PMybbhCPh

2))(2( 21

&& +−−−−

=δζ

= 0 (38)

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wheretunaP& and

mackP& necessarily equal zero in the steady-state. Graphing these expressions in x

versus htuna and y versus hmack phase-space illustrates where any steady-state equilibria exist.

MODEL PARAMETERIZATION

Using appropriate parameter values poses a challenge. Highly variable fish market prices

compound difficulties caused by the paucity of empirical data regarding stock sizes, intrinsic

growth rates, or the carrying capacity of either species. Therefore, in order to obtain meaningful

results, parameter values must be constructed through a combination of empirical data,

calculation, and estimation. Maintaining a base case scenario in which the static profit

maximizing harvest level remains higher than the maximum intrinsic growth of the fish is a

significant part of a relevant and interesting outcome. Otherwise the model fails to capture many

of the tradeoffs between price decrease and growth decrease. Ensuring that base cases operate in

this manner with limited empirical data requires that some parameters and variables do not

correspond with observed data. The assumptions this dictates are unfortunate, but necessary

given the complexity of the model and present fewer problems in a qualitative model such as this

compared with modeling for quantitative results.

Because some literature explores population variables, we begin with the parameters in

the logisitic growth equations by using the formula a2 = a1 / ktuna, where a1 is the intrinsic rate of

growth of the species and k is the carrying capacity. McAllister and Carruthers (2007) estimated

the intrinsic rate of growth for Western Atlantic Bluefin tuna at 0.1667. We will assume this is

similar to the growth rate for the Eastern Atlantic population and use this value for a1. In the

same study, McAllister and Carruthers estimated a carrying capacity for the Western stock at

approximately 131,500 tons. No such number exists for the Eastern Atlantic, but by taking the

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total biomass estimate for the Eastern Atlantic (International Commission for the Conservation

of Atlantic Tuna, 2008) and dividing by the International Commission for the Conservation of

Atlantic Tuna (ICCAT) (2008) estimated percentage of spawning stock biomass (SSB) necessary

to support maximum sustainable yield (MSY)—less than 40%—we can obtain a rough estimate

for the MSY stock, which when doubled yields the carrying capacity for the Eastern stock.

Adding 131,500 results in the total carrying capacity for the Atlantic of ktuna = 1,375,740.

Unfortunately, using the percentage of SSB necessary to support MSY (SSBmsy) is not an ideal

proxy for what percentage of MSY current biomass represents. Nor is ICCAT confident in their

estimates. Indeed, they suggest that the current SSB may be significantly less than 40% of that

necessary to support MSY and current population trends suggest SSB is declining further relative

to the population due to targeted fishing of mature individuals (ICCAT, 2008). Consequently,

assigning reliable values for ktuna and a2 remains problematic. The next best approach is to

structure these parameters in such a way as to obtain the greatest amount of useful information

from the model, which in this case requires maintaining the base case intersection of the profit

maximization level and the alternate harvest solution line above the logistic growth curve. This

most accurately simulates reality because current fishing of bluefin occurs at an unsustainable

rate. Therefore, fishing at a rate that maximizes profits necessarily results in harvesting beyond

the capacity of fish to reproduce, that is, harvest is higher than logistic growth for all given

population sizes. Simply using the numbers above results in a carrying capacity of about

1,375,740 tons and a value for a2 of 1.21171 * 10-7. These are suitable for our purposes.

The same logistic growth equation is used for mackerel with growth parameters labeled

differently: b2 = b1 / k. Fishbase.org lists the intrinsic rate of growth as a range from 0.33 – 0.56

(Collette, 2009). Because of model calibration needs, we use a slightly low number so that b1 =

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0.3. In the latest stock assessment, the Northeast Fisheries Science Center calculated SSBmsy at

644,000mt, current SSB at 2.3 million tons and total biomass at approximately 2.9 million tons

(2006). Multiplying the ratio of total biomass to SSB (1.26087) by the SSBmsy of 644,000

results in a value for biomass necessary for MSY of 812,000mt. Doubling MSY amounts to a

carrying capacity of kmack = 1,624,000mt. Applying this to the logistic equation and solving

yields b2 = 1.84729×10-7.

For δ, we assume a constant discount rate of 5%, so δ = 0.05.

Assigning values for ω and ψ is a greater challenge. No studies have examined the

effects of mercury on the reproductive capacity of tuna or mackerel, so we cannot say with

certainty how significant these effects might be. However, given the number of studies

demonstrating adverse effects on reproduction in a variety of different fish species (Baker Matta,

2001; Latif et al., 1999; Devlin, 1992; Khan and Weis, 1987; Beckvar, 1996), we assume that

such effects occur in tuna and mackerel. Studies of Coho salmon, killifish, carp, and walleye

demonstrate that increases in mercury concentrations limit such reproductive markers as sperm

motility, fertilization rates, and larval viability (Latif et al., 1999; Devlin, 1992; Khan and Weis,

1987; Chyb et al., 2001). However, the strength of detrimental effects of mercury varies widely

among different species and many of the species studied in the literature are freshwater species.

Consequently, we simulate several scenarios using different values for ω and ψ. These values

range from 0.02 to 0.06 which is sufficient to differentiate these simulation results from the base

case and from each other. A starting value of 0.02 corresponds roughly to approximately a 2%

decrease in hatching success in walleye when moving from an environment without mercury to

one in which concentrations are approximately 2ng/L (Latif et al., 2001), which is at the high end

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of values reported for concentrations of mercury in the ocean (Gill and Fitzgerald, 1988; Gill and

Fitzgerald, 1987; Gill and Fitzgerald, 1985), but accurate enough for the scope of our model.

The next step is to parameterize the expression for harvest: p*h = (rents)*p*h + c*h2

Empirical values for price and harvest might be considered even more unreliable than population

statistics because, while more empirical data exists, price varies greatly depending on the

particular market, and a substantial portion of harvest goes unreported. Therefore, it best serves

our purpose to establish parameter values that aid our inquiry into steady state dynamics.

Pintassilgo and Costa Duarte calculated Bluefin prices between $5/kg and $25/kg, depending on

the gear type (2002). NMFS lists the average price for Bluefin sales at $14.35/kg (2006). For

convenience, we use an average price of $15/kg or rather, because the model is designed for

tons, $15,000/mt. ICCAT (2008) indicates that reported harvest is 34,030 tons, but suggests that

total harvest approaches 61,100 tons. For finding a value for the cost parameter, we use a

harvest value of 60,000 tons. Rents in rationalized fisheries will be a fraction of total revenues.

They may plausibly range between 25% and 60% depending on prices, cost structure of the

fishery, and biological productivity of the stock (Smith, 2009). This large span allows some

leeway to find a value that satisfies the base case conditions described above, in this case, 50%

of the rents from the fishery. So the equation becomes (15000)(60000) = (.5)(15000)(60000) + c

(60000)2 and when solved: c = 0.000000121171.

Estimates for the population size and harvest values for mackerel combined in such a way

as to result in larger logistic growth and lower harvest than fits properly into the model. To

compensate, we assume rents for mackerel to be an unusually high 65%. This, combined with a

low value for intrinsic growth, was necessary to ensure that the profit maximization level

remained above the logistic growth curve. Prices for mackerel have been volatile in recent years,

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20

falling from about $1500/mt to $750/mt in 2006 (fishupdate.com, 2006) and averaged out at over

$1000/mt in 2007 (NMFS, 2007). For simplicity, we use a price of $1000/mt. The Northeast

Fisheries Science Center mackerel Stock Assessment Review Committee used a 2005 projected

catch of 95,000mt for deterministic projections but believes that long term MSY is closer to

89,000 (2006); we will use 90,000mt in our model to find the cost parameter. The same

expression for harvest from above specified for mackerel is: (1000)(90000) = (.5)(1000)(90000)

+ c (90000)2 and when solved: c = 0.0055556.

The final piece of the model is simulating the flow of mercury through the system,

beginning with emissions. As noted by Mason et al., (2002), the relationship between mercury

emissions and fish concentrations is likely not a simple linear equation due to the intricacies of

the global mercury cycle. Incorporating all the possible fluxes into the system, many of which

are not understood, is beyond the scope of this study and it should simply be noted that the

model attempts to approximate this relationship. The state equation for mercury requires a value

for φ to enable outputs. Assuming a deposition to the marine environment of 2000mt/yr

(Lamborg et al., 2002) and the volume of the global ocean to be about 1.347 billion cubic

kilometers (Gleick, 1996), the base flow, F, into the marine environment is 0.0014847ng/L. For

m, we will use the slightly high end estimate from Gill and Fitzgerald of 0.02ng/L (1985, 1987,

1988). In order to derive a value for φ, it is necessary to assume that the system is in steady state

such that (3’) is true. Substitution into this equation and solving yields φ = 0.000742391. This

allows us to examine the change in environmental mercury concentration for a given change in

F. To see how this influences the concentrations of mercury in mackerel and tuna, it is necessary

to derive values for the parameters ζ and η which can be done by applying empirical data to

equations (4) and (5). As a general rule, concentrations of mercury bioaccumulate by

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21

approximately a factor of 10 with each increase in trophic level (Watras and Bloom, 1992;

Lindqvist et al., 1991). Because these experiments take place in freshwater with fish other than

the study species and because they operate on a short time scale, they must be regarded with

some suspicion, but these numbers remain a good approximation nevertheless. Several studies

demonstrate that the primary influx of mercury into the food web occurs at the transfer between

water and fish at a factor of about 106 (Watras and Bloom, 1992; Lindqvist et al., 1991).

Assuming biomagnification by a factor of 10, η = 10. Plugging these parameter values into (3),

(4), and (5) allows us to apply changes to the system and yield evaluable outputs.

Values of 1.0 ppm and 0.05 ppm for Mmack and Mtuna used below correspond roughly to

studies in the toxicology literature (Nakagawa, 1997; Storelli, 2001; Srebocan, 2007; Licata,

2004; FDA, 2006).

VISUALIZING MODEL DYNAMICS

Below are a series of phase-space diagrams showing the relationship between stocks and

harvests under various model simulations. We first examine base cases in which the terms Mtuna

and Mmack are set to zero to allow examination of the system without considering the effects of

mercury. Subsequent simulations examine first the effects of mercury on the price of the fish,

and second the effects of mercury on fish population growth. These effects are then combined to

examine the countervailing forces between them. Lastly, we simulate how an increased flow of

mercury into the environment affects price degradation and growth inhibition.

For the base cases, in addition to setting mercury concentrations to zero, we assume that

ψ = 0, ω = 0, and γ = 0. This corresponds to a situation in which the market price of the fish does

not degrade as a result of high mercury concentrations in fish and, likewise, the fish do not suffer

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22

biologically as a result of high mercury concentrations. Figures 1 and 2 display the base cases.

The curve is the logistic growth curve which describes the rate of growth of the fish for a

particular population size and represents the isocline at which harvest and growth counterbalance

each other such that no changes in population occur over time. The vertical and horizontal lines

are solutions to the equations (37) and (38). The intersections of solution lines and the logistic

growth curve are optimal steady state solutions such that the system can indefinitely maintain the

harvest and population sizes at the point of intersection. The horizontal lines also represent the

harvest levels which maximize profits. Harvesting never occurs above these horizontal lines, as

doing so would be economically unbeneficial. Black arrows detail the directions that harvest and

stock size will shift when the system is in flux at a particular location on the diagram. When

harvesting occurs above the logistic growth curve, population growth is insufficient to maintain

stocks, and population decreases. Correspondingly, when harvesting below the logistic growth

curve, the fish population grows despite harvesting, and stocks increase over time. Colored

arrows indicate example trajectories towards particular outcomes. The red and green arrows

show paths to an optimal steady state result. The light purple arrows show paths to extinction.

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23

Figure 1 – Tuna Base Case (ω = 0; γ = 0)

0

20000

40000

60000

80000

100000

120000

140000

1

61

121

181

241

301

361

421

481

541

601

661

721

781

841

901

961

1021

1081

1141

1201

1261

1321

1381

1441

1501

1561

1621

1681

1741

y (thousands of tons)

hm

ack

(to

ns)

Figure 2 – Mackerel Base Case (ψ = 0; γ = 0)

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24

Because the profit maximizing harvest level is above the logistic growth curve, only one

optimal steady state solution exists in these situations. The fact that profit maximizing harvest is

above the growth curve also suggests what is likely the current state of the fisheries in which

fishers could achieve greatest profit by driving the fish to extinction.

Figures 3 – 8 are representative cases (using tuna) that depict how the stock and harvest

change over time for the three trajectory paths demarcated by the colored arrows. Figures 3 and

4 illustrate the case where the harvest at t = 0 is along the profit maximizing harvest level that

decreases stocks and eventually drops to attain the optimal steady state solution at the

intersection of the logistic growth curve and the vertical solution line. Figures 5 and 6 consider

the same outcome with different initial harvest and population sizes wherein the harvest at t = 0

is below the isocline, thus leading eventually to the steady state optimal solution. Figures 7 and

8 illustrate the feasible, but non-optimal case where the harvest at t = 0 is above the isocline and

initial population is low, thus leading to extinction.

Figure 3 & 4 – Tuna Base Case: htuna0 at profit maximization (time vs. x; time vs. htuna)

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25

Figures 5 & 6 – Tuna Base Case: htuna0 Below Logistic Growth Curve Isocline (time vs. x; time vs. htuna)

Figures 7 & 8 – Tuna Base Case: htuna0 above isocline, left of vertical line solution (Time vs. x; time vs. htuna)

Figures 9 and 10 consider the case in which fish-specific mercury concentrations drive

consumer decision-making, thus leading to reduced demand and subsequent price decay that

results in lower profit maximizing harvest levels. The fish populations remain unaffected by

direct toxicity from mercury, but because of a declining profit maximizing harvest level for tuna,

the horizontal line creates new intersections with the logistic growth curve isocline, indicating

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26

new optimal steady state solutions. The black arrows depict the shift in the profit maximizing

harvest level for varying levels of consumer concern (represented by changes in γ) and the blue

arrows show the corresponding shift in the optimal steady state solutions from the base case

intersection to the new intersections. Note that although two viable points of intersection exist

for each of these simulations, the intersection points at lower population values are not optimal

and should the system reach those intersection points, the optimal path will travel along the profit

maximization level to the solution at a higher fish population. In terms of management, the

important thing to recognize is that under these price decay conditions, the optimal steady state

results in a much higher population of tuna than when this effect is not considered.

0

10000

20000

30000

40000

50000

60000

70000

1

74

147

220

293

366

439

512

585

658

731

804

877

950

1023

1096

1169

1242

1315

x (thousands of tons)

htu

na

(to

ns)

Figure 9 – Tuna Price Decay A (ω = 0; γ = 0. 2, γ = 0. 35, γ = 0. 5)

Page 28: BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

27

0

20000

40000

60000

80000

100000

120000

140000

1

73

145

217

289

361

433

505

577

649

721

793

865

937

1009

1081

1153

1225

1297

1369

1441

1513

1585

1657

1729

y (thousands of tons)

hm

ack

(to

ns)

Figure 10 – Mackerel Price Decay A (ψ = 0; γ = 0. 2, 0. 35, 0. 5)

Note also that both price and harvest change relatively little for mackerel compared to tuna. This

is due both to relatively low mercury concentration and low price for mackerel.

Figures 11 and 12 show the other effect due to mercury considered in this model, namely,

population growth inhibition. In these simulations, the price decay effect is considered

insignificant and ignored for the sake of focusing on the negative effects of mercury on fish

reproduction. The diagrams show different scenarios corresponding to different values of the

reproductive damage variables ω and ψ (colored) compared to the base cases (black). The

important aspect of this situation is that despite continued demand for fish at the same harvest

level, declines in the growth potential result in intersections between the vertical harvest solution

and the growth curve at harvest levels less than those of the base cases. This means that while

people would prefer to consume more fish, high concentrations of mercury limit fish population

size enough to reduce the level of harvest which can be sustained in perpetuity. As with the

previous case, tuna is affected to a much greater degree than mackerel.

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0

10000

20000

30000

40000

50000

60000

70000

1

53

105

157

209

261

313

365

417

469

521

573

625

677

729

781

833

885

937

989

1041

1093

1145

1197

1249

1301

1353

x (thousands of tons)

htu

na (

ton

s)

Figure 11 – Tuna Inhibition (ω = 0.02, ω = 0.04, ω = 0.06; γ = 0; Mtuna = 1)

0

20000

40000

60000

80000

100000

120000

140000

1

83

165

247

329

411

493

575

657

739

821

903

985

1067

1149

1231

1313

1395

1477

1559

1641

1723

y (thousands of tons)

hm

ack

(to

ns)

Figure 12 – Mackerel Inhibition (ψ = 0.02, ψ = 0.04, ψ = 0.06; γ = 0; Mmack = 0.05)

Some studies have shown that higher trophic level predators such as marine mammals can

tolerate very high levels of mercury by transforming methylmercury into an inorganic form

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29

which is less toxic (Beckvar, 1996). It could be the case that bluefin tuna possess such resistance

and can tolerate higher mercury concentrations than Atlantic mackerel, thus justifying lower

values for ω relative to ψ, but this has not been studied for the study species.

The combination of the price decay effect and the reproductive inhibition effect is shown

(in black) in Figures 13 and 16 in contrast to the base cases (in gray). The simulation is

particularly interesting for tuna due to the presence of three intersections (solutions). Only two,

however, are optimal steady state solutions, A and C, since arrival at B is not optimal compared

to C. Should initial harvest and population occur below the logistic growth curve, the system

will move upwards and to the next solution to the right. Initial values above the isolcine near A

and B will move towards A while initial values above the isocline to the right of C will move

towards C. Five such trajectories are described in Table 1.

0

10000

20000

30000

40000

50000

60000

70000

1

64

127

190

253

316

379

442

505

568

631

694

757

820

883

946

1009

1072

1135

1198

1261

1324

x (thousands of tons)

htu

na (

ton

s)

Figure 13 – Tuna Mercury Effects Combination (ω = 0.02; γ = .2; Mtuna = 1)

A

B C

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30

Table 1 - Tuna Combination (ω = 0.02; γ = .2; Mtuna = 1)

Now suppose that the effects of growth inhibition occur first and that the price decay

effect follows afterwards such that the horizontal line (profit maximizing harvest level) remains

at 60,000mt until after the growth curve and vertical solution line have shifted (similar to the

case illustrated in Figure 11). Perhaps consumers do not appreciate the dangers of mercury until

they learn the damage it has done to the fish population. From the previous optimal steady state,

harvest increases instantaneously and then declines over time to a new steady state. Additional

intersections (optimal solutions) occur as the profit maximizing harvest level drops and

eventually intersects the logistic growth curve. Harvest remains static until the horizontal line

passes below the intersection of the vertical line with the logistic growth curve, at which point

harvesting declines along the path of the isocline with increasing γ (see Figure 14).

The population size also shifts rapidly, though not instantaneously as fish need time to

reproduce as opposed to harvesting which is without limits on rapidity of change. Figure 15

displays the change in population size as γ increases. With a change in harvesting solutions

along the profit maximizing harvesting level, the tuna population is allowed to increase

substantially and continues to do so as γ continues to increase just as it does in Figure 9.

Initial harvest & population Outcome

Below isocline, left of vertical solution line Approach A from below the isocline

Below isocline, right of vertical solution line, left of B

Approach B from below the isocline, continue to C along static profit maximizing harvest line

Above isocline, left of B Approach A from above the isocline

Below isocline, right of B Approach C from below the isocline

Above isocline, right of C Approach C from above isocline along static profit maximizing harvest line

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31

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

50000

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Time

htuna (tons)

Figure 14 – Tuna combination: Inhibition occurs before γ increases (Tuna: Time vs. Htuna)

Yet again, the price decay and population growth inhibition effects alter the mackerel

fishery very little. Indeed, the base case is barely differentiable by eye from the combination of

effects in Figure 15.

0

20000

40000

60000

80000

100000

120000

140000

160000

1

83

165

247

329

411

493

575

657

739

821

903

985

1067

1149

1231

1313

1395

1477

1559

1641

1723

y (thousands of tons)

hm

ack (to

ns)

Figure 15 – Mackerel Mercury Effects Combination (ψ = .5; γ = 0.3; Mmack = 0.05)

Page 33: BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

32

The last scenarios we consider deal with increasing mercury pollution, in our model

defined as F, the flow of mercury into the marine environment. Increases in F in turn increase

Mmack and Mtuna and these increased concentrations modify the price decay and population

growth inhibition effects accordingly.

0

10000

20000

30000

40000

50000

60000

70000

80000

1

64

127

190

253

316

379

442

505

568

631

694

757

820

883

946

1009

1072

1135

1198

1261

1324

x (thousands of tons)

htu

na (

ton

s)

Figure 16 – Flow of Hg into Environment Increases by 1% (F = 1.49963*10-9; ω = 0.02; γ = .2; Mtuna = 1.2)

A second interesting aspect of this particular simulation evolves from considering further

increases in mercury concentrations in the tuna due to continuing mercury pollution (Mtuna

increasing) when consumers no longer react to increases in mercury concentrations by changing

their purchasing behavior (γ drops to zero after a certain threshold, perhaps because all the

people willing to reduce their consumption have done so already) such that the profit maximizing

harvest level remains in place. Fish continue to suffer reproductive inhibition as a result of

increasing mercury concentrations, thus shrinking the logistic growth curve. Eventually, the

curve falls low enough that it no longer intersects the profit maximizing harvest level and the

Page 34: BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

33

previous optimal harvesting solution is lost. The result is an instantaneous shift leftwards on the

diagram to the vertical solution line in order to maintain indefinite harvesting. A leftward shift

means a reduction in tuna population, shown in Figure 17.

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 2

Mmack (ppm)

hm

ac

k (

ton

s)

Figure 17 – F increases: Tuna (Mmack vs. hmack)

0

100000

200000

300000

400000

500000

600000

700000

1.2 1.25 1.3 1.35 1.4 1.45 1.5 1.55 1.6 1.65 1.7 1.75 1.8 1.85 1.9 1.95 2

Mmack (ppm)

x (

ton

s)

Figure 18 – F increases Tuna: (Mmack vs. x)

Page 35: BIO-ECONOMIC MODELING OF CONTAMINATED BLUEFIN TUNA AND

34

This result is the opposite of the price decay effect described in Figure 14. Both

outcomes result in lower harvests, but price decay leads to higher stocks, while growth inhibition

leads to lower stocks relative to the base case. When considering both effects together, the

ultimate steady-state outcome depends on which variables exert more control over the system.

Because this model is highly theoretical without a large body of literature to rely on, postulating

reasonable values for parameters is a significant challenge, thus making any conjectures on the

relative importance of particular variables highly uncertain.

0

20000

40000

60000

80000

100000

120000

140000

160000

1

83

165

247

329

411

493

575

657

739

821

903

985

1067

1149

1231

1313

1395

1477

1559

1641

1723

y (thousands of tons)

hm

ack

(to

ns)

Figure 19 – Flow of Hg into Environment Increases by 1% (F = 1.49963*10-9; ω = 0.02; γ = .2; Mtuna = 0.07)

The resistance of the mackerel fishery to changes resulting from mercury is obvious

throughout this section. Even simulating a 10% increase in mercury concentration in mackerel

resulted in very little change in either harvesting or population growth potential. We must

conclude that under the assumptions of this particular model that mackerel is a resilient fishery.

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35

It is possible that using other models which incorporate detailed aspects of the system which do

not appear in the contaminated fisheries model such as population interactions between species

could change the above results.

INTERPRETATION OF CONTAMINATED FISHERIES MODEL

The various scenarios above demonstrate a variety of outcomes for harvests and stocks

depending on the values of the variables and parameters. We explore many different options

because very little information exists on the values of most of the input values, resulting in a

wide range of possible scenarios that cannot be narrowed without further research. These values

are gleaned from the literature to the greatest extent possible, but many must be estimated and

may not be accurate. Nonetheless, for the purposes of qualitative modeling, using approximate

numbers allows for a theoretical analysis that can direct further research to develop empirical

results. Current management lacks substantive information in this area and a range of

predictions provides tools for managers to more effectively oversee marine resources and their

consumption for many possible future outcomes.

The economic interpretation for most of these situations in steady-state is relatively

straightforward. The difficulty lies in understanding how the countervailing effects of mercury

contamination alter harvesting and stock sizes. The struggle between the strength of price decay

and negative reproductive effects that hamper stocks causes this system to operate in some

interesting ways. Should the rate of price decay spike without a corresponding reduction in the

intrinsic growth rate of tuna stocks, harvest will decrease in profitability and stocks will

eventually reach a new steady-state equilibrium commensurate with the reproductive damage of

mercury. Alternately, if consumers remain relatively indifferent to the dangers of mercury, but

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36

fish begin to suffer biologically as a result of high mercury concentrations, then we experience a

cases in which both harvesting and mercury toxicity contribute to the decline of stocks.

A major lesson for management is that with higher concentrations of mercury, both the

market price decay of mackerel and the reproductive damage to mackerel are likely to be less

than for bluefin tuna. Depending on the parameters, this will likely result in greater decreases in

harvest of bluefin relative to mackerel. One might speculate that as global demand for seafood

continues to increase, this will put greater upward pressure on seafood prices—unless a

particular species is contaminated. High levels of contamination combined with scarce seafood

could further drive up prices and harvests of remaining, uncontaminated species such as Atlantic

mackerel. This would suggest a further disparity in relative harvesting of bluefin and mackerel

compared to the present. It is unfortunate that time and the complexity of initial research on a

predator-prey model necessitated dispensing with the original intention to incorporate consumer

choices into the population interaction dynamics of the system in this particular study, but we

discuss the initial stages of a more detailed model below as a precursor to continuing research on

the subject.

ALTERNATIVE MODEL INCLUDING STOCK EFFECTS

The approach described above models a situation in which the size of the stocks of tuna

and mackerel fail to change the outcome of the problem from the perspective of a harvester.

This is a great simplification as the cost of catching fish can change dramatically depending on

the stock size. With high stocks, less fishing is necessary to reach the optimal harvest because

fish occur in more locations and are therefore easier to catch. When stocks are low, fishers must

often increase their effort and costs in order to catch the optimal harvest of fish. A simple way to

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37

address this issue is to include additional stock terms in the state equations influencing the cost

such that the objective function becomes

max∫∞

0

[(ptunahtuna – (Ctuna/x)htuna2) + (pmackhmack – (Cmack/y)hmack

2] dt (6’’)

This addition modifies the First Order Conditions (10), (11), (12), and (13):

tunah

H

∂~

= Ptuna – (2Ctuna/x)htuna – 1 = 0 (10’’)

mackh

H

∂~

= Pmack – (2Cmack/y)hmack – 2 = 0 (11’’)

x

H

∂−

~= 1 – 1 = (Ctuna/x

2)htuna2 – 1[a1 – 2a2x – Mtunaω] = 0 (12’’)

y

H

∂−

~ = 2 – 2 = (Cmack/y

2)hmack2 – 2[b1 – 2b2y – Mmackψ] = 0 (13’’)

This in turn affects the expressions for the co-state variables when solving for the steady-state

λ1 = Ptuna – (2Ctuna/x)htuna (25’’)

λ2 = Pmack – (2Cmack/y)hmack (26’’)

Which after substituting into (12’’) and (13’’) yields

0 = (Ctuna/x2)htuna

2 – [Ptuna – 2(Ctuna/x)htuna](a1 – 2a2x – Mtunaω – δ) (31’’)

0 = (Cmack/y2)hmack

2 – [Pmack – 2(Cmack/y)hmack](b1 – 2b2y – Mmackψ – δ) (32’’)

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38

These results can be applied in a similar manner as with the first model. Expressions for the

change in harvest over time are

tuna

tuna

tunaC

Pxh

21λ&&

&&−

= = 0 (33’’)

mack

mack

mackC

Pyh

22λ&&

&&−

= = 0 (34’’)

Substituting in (1’), (2’), (31’’), and (32’’), we obtain

( )

tuna

tunatunatuna

tunatunatuna

tuna

tunatunaC

Mxaahx

cPh

x

cP

Mxaaxh2

2)(2()()(

212

2

21

δω

ω

−−−

−−−

−−=

&

&

(35’’)

( )

mack

mackmackmack

mackmackmack

mack

mackmackC

Mybbhy

cPh

y

cP

Mybbyh2

2)(2()(

)(21

2

2

21

δψ

ψ

−−−

−−−

−−=

&

&

(36’’)

Solving (1’) and (2’) for htuna and hmack and then substituting into (35’’) and (36’’) results in two

fourth order polynomials. Solving for x and y numerically yields three non-negative solutions

for each. Parameterizing this model and then evaluating these solutions as with the previous

model will yield different results that can describe the system in greater detail and complexity.

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39

Unfortunately, further examination of this particular model is beyond the scope of this study, but

remains the likely next step for further investigation.

DISCUSSION

The contaminated fisheries model posed several difficulties. In standard predator-prey

interactions, the predator feeds on more species than the prey under consideration and the prey is

consumed by other predators not considered. This is particularly pertinent for the current

analysis because tuna are opportunistic foragers and accumulate a great deal of mercury from

sources other than mackerel. We assume in this model for the sake of simplicity that

tunaM& depends only on the change in concentration of mercury in mackerel. A more detailed

approach would include constructing a more representative equation for the accumulation of

mercury in tuna by including other species, whether by replacing the role of mackerel in the

model with an aggregate of bluefin prey or by incorporating additional individual species state

equations. An alternate approach to addressing this problem is changing the study species. This

model is not species specific and applying it to other species may prove more appropriate.

A systemic problem in the contaminated fisheries model remains a heavy reliance on

non-empirical assumptions. Scientists have yet to uncover values for many of the parameters

required by the model. Some, particularly γ, represent any number of collective inputs

interacting simultaneously. A strong hedonic pricing push could uncover some of the consumer

choices that result in a market price for fish, but ultimately, the degree to which preferences

offset each other may defy comprehension. When considering bluefin tuna, consumers may

balance mercury content and sustainability of fishing on one side with the high levels of omega-3

fatty acids and a highly desirable taste on the other.

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From an environmental chemistry perspective, the model oversimplifies a number of

processes in the global mercury cycle that affect the relationships between emissions,

environmental, and biological concentrations of mercury. The effects of fluxes between the

atmosphere, the oceans, and the terrestrial environment the localized nature of some mercury

pollution increasingly complicates the system, but may have significant effects on the outcomes

discussed above. Additionally, some research describes the build up of tolerance in some fish

species to toxics in the environment (Khan and Weis, 1987), a fact that requires consideration for

any future work concerning reductions in fish growth potential as a result of high mercury

concentrations.

The decline of Bluefin tuna stocks compounds the problems posed by mercury. Because

stocks remain depleted and overfishing continues to occur (International Commission for the

Conservation of Atlantic Tuna, 2008), the initial value of the stock is likely close to the origin in

a phase-space diagram, suggesting that under current conditions, steady-state equilibriums will

tend to be at harvests less than Maximum Sustainable Yield (MSY).

Because bluefin tuna stocks are in global decline, this problem has significant

implications for fisheries management when examined from the viewpoint of conservationists.

Should mercury drive consumer choices as we assume in this model, demand for tuna could drop

enough to result in a profit maximizing level of harvest low enough to allow tuna stocks to

recover. Alternately, should mercury reduce population growth in tuna, stocks could decline

even further. Determining which of these effects is more sensitive to increases in environmental

mercury concentrations is critical for future management of this species. Conservation groups

focusing effort on bluefin may find that educating consumers about the dangers of mercury is

more effective in reducing overfishing and increasing stocks than traditional methods. This

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strategy may appear an indirect way of achieving tuna conservation, but remains a possible

outreach tool to direct at those consumers more concerned with health than with conservation of

marine resources. This model is not limited to bluefin-mackerel interactions and could be

applied to any other situations in which a contaminated predator feeds upon a seafood resource

which we also consume.

A major avenue of further study if given more time and resources would be to

incorporate additional empirical data into the model. More accurate numbers would enable us to

construct the optimal approach path to the steady state and gain more understanding of γ by

manipulating price through changing mercury concentrations. One broader benefit of such work

could be to help develop estimates for the social costs of mercury in a manner entirely different

than that used by Trasande and the EPA (Griffiths, 2007). The difficulties of this approach lie in

the assumptions about information dissemination to the public and other factors not considered

in the model such as the health benefits of omega-3 fatty acids found in both fishes.

Given the long residence time of mercury, both in the natural environment and in human

beings, it might make sense to examine the issues of long run discounting. Constant exponential

discounting is standard practice, but strongly tilts extraction towards the present. Given Booth’s

(2005) findings that global warming will exacerbate mercury bioaccumulation, and the

unlikelihood of reversing such a trend, prices of bluefin could fall relative to prices of mackerel

in the far distant future. Such a result is undesirable from a conservation or ecology point of

view because this relative price change encourages fishers to further overexploit bluefin in the

present. Avoiding this situation requires explicitly accounting for non-market values of bluefin.

The framework constructed in this paper attempts to model the optimal management of

two harvested fish species where one becomes contaminated as a result of preying upon the

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other. The framework incorporates both the concerns consumers have about the dangers of

mercury toxicity from consuming these fish as reflected in the price of the fish and the decline in

maximum growth rates of the fish resulting from mercury-reduced fecundity. With a properly

working model, the price could tell us how consumers value the damages due to a given increase

in mercury. Managers, policymakers, and scientists alike can benefit from understanding these

complex biological, chemical, and economic interactions and how they will affect the future.

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