Abstract
In salmon aquaculture, despite the industry’s substantial technologically driven growth over the last few decades, escapees together with diseases remain important environmental challenges influencing industry growth. This article investigates the incentives of salmon farmers to address the escapee challenge, as well as the impact of a regulatory change in 2006, accounting for the multi-output characteristic of the production technology. The results indicate that escapees do not have direct or indirect effects on the production costs of salmon even after the regulatory change in 2006. This suggests that the regulatory changes related to escapees did not cause distortions in the production technology.
Published Version
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