Decline In Stocks Research Articles

Decreasing eel stocks: survival of the fattest?

Abstract – Since the 1980s, the European eel Anguilla anguilla stock is in steep decline. Lipid reserves are essential to cover energetic requirements for silver eel migration and reproduction. Two large and independent data sets from Belgium and The Netherlands show an average one‐third decrease in fat contents of yellow eels over the past 15 years. Also Le Cren’s relative condition factor decreased. On the basis of the somatic energy reserves, reproductive potential of eels from various latitudes over Europe was estimated, assuming fat levels in yellow eel are indicative of those in silver eels. Only large individuals, females as well as males, with high lipid content seem to be able to contribute to the spawning stock. The decrease in fat content in yellow eels may be a key element in the stock decline and raises serious concerns about the chances of the stock to recover.

Impacts of unregulated harvesting on a recovering stock of native oysters (Ostrea edulis)

In Strangford Lough, Northern Ireland stocks of Ostrea edulis collapsed in the 1890s and the species was rarely recorded again until 1998 when the wild stock was estimated to be 100,000. The stock increased to 1.2 million in 2003 but declined to 650,000 by 2005. In 2007 the stock exceeded 1 million. The initial recovery of wild stocks is attributed to the combined effects of spawning commercial O. edulis stocks of and larval retention due to local hydrography. The stock decline between 2003 and 2005 is attributed to unregulated harvesting. Significant differences in abundances between sites over this period may be explained by the exploitation of more-readily accessible sites initially and of less accessible sites later. Oysters at sites where there was minimal exploitation probably contributed to widespread recruitment in 2007. Sustainable management of recovering native oyster stocks in Strangford Lough and elsewhere and will be impossible without appropriate legislation and enforcement.

Threatened fishes of the world: Acipenser schrenckii Brandt, 1869 (Acipenseridae)

Common name: Amur sturgeon (English). Conservation status: Endangered—IUCN Red List, Classified under Appendix II of CITES, Endangered—China Species Red List. Identification: D 35–54, A 19–33, P 35, V 25. Five rows of scutes: D 11–19, L 30–47, V 4–11. Gill rakers: 31–48 (Zhang 1995). Triangular head, inferior and small mouth elongated and depressed snout, two pairs of barbels (Yue and Chen 1998). There are two distinct morphs of Amur sturgeon: brown and grey (Krykhtin and Svirskii 1997). Figure from Wei et al. (1997). Distribution: The species is distributed throughout the Amur River basin, as well as the Ussuri and Sungari (Songhuajiang) rivers, and also can be found in Japan due to the possibility of anadromous migration (Shmigirilov et al. 2007). Abundance: Declining dramatically from the 1930s, with natural stock unknown as yet. Habitat and ecology: A typical benthic feeder. Feeds on bottom invertebrates and mollusks, as well as small fishes (Shmigirilov et al. 2007). Dwells in the middle to lower layers of deep eddy currents. Reproduction: Late sexual maturity (7–24 years). Spawning period from late May to early July. Fecundity ranges from 114 000 to 1 292 000 with mean of 385 000 (Zhang 1995). Threats: Stock has been destroyed by illegal poaching and overfishing (Yue and Chen 1998). Contamination of the Amur River and its tributaries is also a potential threat. Conservation action: Local regulations for the protection, enacted in the 1950s and renewed in 1982, and conservation efforts by China in 1998 were insufficient to prevent stock decline. Collaboration and cooperation between China and Russia play a crucial role in Amur sturgeon conservation. Conservation recommendations: Fishing regulations must be strictly implemented, with emphasis on fishing prohibition period and areas. Artificial hatching and releasing of raised young Amur sturgeons into rivers should be considered.

Information‐based early exercise of US employee stock options

PurposeThis paper aims to show that tax‐motivated early exercise of US employee stock options can be, in principle, rationalized for bullish executives. The paper aims to show empirical evidence consistent with private positive information guiding the timing of the exercises.Design/methodology/approachThe paper uses conventional event study methodology to examine the long‐run relative stock price performance of firms in which executives early exercise and maintain the acquired shares. The long‐run analysis adopts the cumulative abnormal return as well as the buy‐and‐hold methodological approach.FindingsTax‐motivated early exercise may be justified on the grounds that future stock appreciation can be converted to long‐term capital gains if the shares are held for over one year while, should the stock decline, shares can be sold within a year to count for short‐term losses. The empirical results reveal that executives who early exercise and continue to hold a majority of the shares acquired do so before performance in their company stock is significantly better than a benchmark.Practical implicationsInformation‐based early exercise is not a harbinger of poor firm performance, as prior research has suggested. This paper illustrates that private positive information can motivate tax‐based early exercise of employee stock options. Prior research has mostly suggested it cannot. Stock retention upon early exercise indicates the optimism of the exerciser.Originality/valueThe first modeling of an exploitable tax asymmetry upon exercise of US employee stock options. The explicit separation of exercises likely based on positive inside information from those likely based on negative information or other non‐informative reasons.

The impact of artisanal fishing on coral reef fish health in Hat Thai Mueang, Phang-nga Province, Southern Thailand

Abstract This study investigates whether there has been a decline in fish stocks of a coral reef in Thailand, and if so, whether that decline is due to small-scale fishing. The research methods used included fish sampling by UVC, interviews and questionnaires with key informants and artisanal fishers. The results confirmed that there has been a decline in piscivores and carnivores (though not herbivores), and the main perceived threat came not from artisanal but from commercial fishing. Recommendations are to replace the largely unrestricted fishery with a more regulated regime backed by effective enforcement.

The emergence and effectiveness of the Marine Stewardship Council

This article examines the influence of patterns of emergence on the effectiveness of the Marine Stewardship Council (MSC)—a leading wild-capture fisheries certification program. Looking first at the origins and features of this program, direct effects are examined by describing the adoption of the scheme and the impacts of the fishery assessment process. In assessing broader consequences, the article examines patterns of adoption and certification effects that were not necessarily intended or anticipated. The article concludes that fisheries certification alone is unlikely to arrest the decline of fish stocks, and highlights the need for more research on the intersection of private and public efforts to address overfishing and environmental harm resulting from fishing.

Miraculous Financial Engineering or Toxic Finance? The Genesis of the U.S. Subprime Mortgage Loans Crisis and its Consequences on the Global Financial Markets and Real Economy

In the fall of 2008, the U.S. subprime mortgage loans defaults have turned into Wall Street's biggest crisis since the Great Depression. As hundreds of billions in mortgage-related investments went bad, banks became suspicious of one another's potential undisclosed credit losses and preferred to reduce their exposure in the interbank markets, thus causing interbank interest rates and credit default swaps increases, a liquidity shortage problem and a worsened credit crunch condition to consumers and businesses. Massive cash injections into money markets and interest rates reductions have been assured by central banks in an attempt to shore up banks and to restore confidence within the financial system. Even Governments have promoted bail-out deal agreements, protections from bankruptcies, recapitalizations and bank nationalizations in order to rescue banks from disastrous bankruptcies.The credit crisis originated in the previous years when the Federal Reserve sharply lowered interest rates (Fed Funds at 1%) to limit the economic damage of the stock decline due to the 2000 dot.com companies' crisis. Lower interest rates made mortgage payments cheaper, and the demand for homes began to rise, sending prices up. In addition, millions of homeowners took advantage of the rate drop to refinance their existing mortgages. As the industry ramped up, the quality of the mortgages went down due to poor credit origination and credit risk assessment. Delinquency and default rates began to rise in 2006 as interest rates rose (Fed Funds at 5,25%) and poor households across the US struggled to pay off their mortgages. Many of them went bankrupt and lost their homes but the pace of lending did not slow. Banks have transformed much of the high-risk mortgage debt (securitizations) into mortgage-backed securities (MBS) and collateralised debt obligations (CDO), and have sold these assets on the stock markets to financial firms and insurance companies around the world, transferring to these investors the rights to the mortgage payments and the related credit risk. With the collapse of the first banks and hedge funds in 2007 the rising number of foreclosures helped speed the fall of housing prices, and the number of prime mortgages in default began to increase. As many CDO products were held on a mark to market basis, the paralysis in the credit markets and the collapse of liquidity in these products let to the dramatic write-downs in 2007. When stock markets in the United States, Europe and Asia continued to plunge, leading central banks took the drastic step of a coordinated cut in interest rates and Governments coordinated actions that included taking equity stakes in major banks.This paper written by the Author (on October 7th, 2008) at the rise of these dramatic events, aims to demonstrate, through solid and fact-based assumptions, that this dramatic global financial crisis could have been addressed and managed earlier and better by many of the stakeholders involved in the subprime mortgage lending process such as, banks' and investment funds management, rating agencies, banking and financial markets supervisory authorities. It also unfortunately demonstrates the corporate social responsibility failure and the moral hazard of many key players involved in this crisis, since a lot of them probably knew quite well what was happening but have preferred not to do anything or to do little and late in order to change the dramatic course of the events.

A review of the ever increasing threat to European crayfish from non-indigenous crayfish species

Non-indigenous crayfish species (NICS) in Europe now outnumber indigenous crayfish species (ICS) 2:1, and it has been predicted that they may dominate completely in the next few decades unless something is done to protect them. Of the ten NICS introduced at least nine have become established in areas occupied by four of the five ICS. A decline in stocks of ICS has been recorded in many countries in the face of increasing populations of NICS. Most European countries retain at least one ICS but all are under threat from habitat loss, deteriorating water quality, overfishing, climate change, and most importantly from NICS and crayfish plague. The threat to ICS is so great in some countries that “ark”sanctuary sites are being established.The three most widely-spread NICS are the North American species: Pacifastacus leniusculus , Orconectes limosus and Procambarus clarkii . These can be considered as “Old NICS”, which were introduced before 1975, compared with the “New NICS”, which were introduced after 1980, such as the North American species: Orconectes immunis , Orconectes juvenilis , Orconectes virilis , Procambarus sp. and Procambarus acutus ; and the Australian species: Cherax destructor and Cherax quadricarinatus , all of which have much narrower ranges in Europe. The North American species are potentially capable of acting as vectors of crayfish plague. Outbreaks of this disease occur regularly where there are high concentrations of vectors.In addition to the NICS currently established in the wild, a further threat exists through the aquarium trade, where many American and Australian species are available via the internet and in aquarist centres. Owners of such species may discard them into the freshwater environment when they grow too big as with some Cherax spp. and Orconectes spp., or multiply too frequently as with Procambarus sp. (a parthenogenetic species). A conceptual model is presented as a possible way forward for protecting the future survival of ICS in Europe.

Comparative biomass structure and estimated carbon flow in food webs in the deep Gulf of Mexico

A budget of the standing stocks and cycling of organic carbon associated with the sea floor has been generated for seven sites across a 3-km depth gradient in the NE Gulf of Mexico, based on a series of reports by co-authors on specific biotic groups or processes. The standing stocks measured at each site were bacteria, Foraminifera, metazoan meiofauna, macrofauna, invertebrate megafauna, and demersal fishes. Sediment community oxygen consumption (SCOC) by the sediment-dwelling organisms was measured at each site using a remotely deployed benthic lander, profiles of oxygen concentration in the sediment pore water of recovered cores and ship-board core incubations. The long-term incorporation and burial of organic carbon into the sediments has been estimated using profiles of a combination of stable and radiocarbon isotopes. The total stock estimates, carbon burial, and the SCOC allowed estimates of living and detrital carbon residence time within the sediments, illustrating that the total biota turns over on time scales of months on the upper continental slope but this is extended to years on the abyssal plain at 3.6 km depth. The detrital carbon turnover is many times longer, however, over the same depths. A composite carbon budget illustrates that total carbon biomass and associated fluxes declined precipitously with increasing depth. Imbalances in the carbon budgets suggest that organic detritus is exported from the upper continental slope to greater depths offshore. The respiration of each individual “size” or functional group within the community has been estimated from allometric models, supplemented by direct measurements in the laboratory. The respiration and standing stocks were incorporated into budgets of carbon flow through and between the different size groups in hypothetical food webs. The decline in stocks and respiration with depth were more abrupt in the larger forms (fishes and megafauna), resulting in an increase in the relative predominance of smaller sizes (bacteria and meiofauna) at depth. Rates and stocks in the deep northern GoM appeared to be comparable to other continental margins where similar comparisons have been made.

Feeding habits the Pacific cod Gadus macrocephalus in oceanic waters of the Northern Kuril Islands and Southeast Kamchatka

This study examines the feeding habits of the Pacific cod Gadus macrocephalus in waters off the eastern coast of the northern Kuril Islands and southern Kamchatka. In November–December 1996, the cod primarily consumed fish, which made up 47.6% of the total food mass. The proportion of cephalopods, fishery offal discarded from fishing vessels, and decapods did not exceed 18.5, 17.4, and 12.2%, respectively. Among fishes, the main prey item of the cod was atka mackerel (15.4%); among cephalopods, octopus (16.8%); among fishery offal, heads of atka mackerel (14.2%); and among decapods, majid crabs (6.4%). The rather low percentage of walleye pollock (7.3%) in the cod diet was due to the decline of the east-Kamchatka walleye pollock stock.

Ecological and economic sustainability in fishery management: A multi-agent model for understanding competition and cooperation

Recent studies have shown that many marine ecosystems are experiencing an accelerating loss of population and biodiversity. It is apparent that there is a growing disparity between the available supply of fish and the desire of the growing world population to catch them. Although studies have begun to question the ecological sustainability of managed fishery systems, they often omit the corresponding effects on the economic sustainability of fishery industries. This is particularly important in rural coastal areas where the fishing industry is often a dominant employer. In this article, we analyze the interactions between economic and ecological dynamic systems using a multi-agent dynamic model of fishery management. Multiple agents (fishers) harvest multiple fish species and adapt the amount and allocation of their effort to their value functions, which are given as net profits of the fish harvest sold for a market price. This is largely unique in fishery models, since many econometric studies view fishers as represented by homogenous ‘average’ agents. We introduce and compare two different decision rules governing the behavior of fishers engaged in a competitive market. We demonstrate a situation where both behaviors lead to a decline of all fish stocks, as well as profits for most fishers. As an alternative, we introduce a cooperative approach in which fisheries jointly set sustainable limits for total harvest and effort that are then distributed to the fishers according to distribution rules. The simulation reveals that fish stocks and profits can stabilize at significantly higher levels in the cooperative case, leading to a continuous accumulation of capital for all fishers. This model demonstrates key aspects of overfishing conflicts that can be overcome through planned fishing quotas and cooperative market mechanisms. It also demonstrates a novel approach for simulating the dynamic behavior of heterogeneous fishers.

Effects of the Fishery on the Northern Quahog (=Hard Clam, Mercenaria mercenaria L.) Population in Great South Bay, New York: A Modeling Study

A numerical bioenergetics simulation model based on the physiological processes affecting individual clams across a range of phenotypes describing a cohort has been developed and applied to the conditions in Great South Bay, New York. The clam population is relatively sensitive to food and to a lesser extent to temperature within this system. The timing of temperature and food in the spring, and more importantly in the fall, can increase population sensitivity beyond the effects of one factor operating alone. The effects of fishing on the stocks in proportion to the size structure present, and as directed fisheries on various size classes (littleneck, cherrystone, chowder) was simulated. Recruitment overfishing was responsible for the stock decline in the 1970s and 1980s, but the continued decline into the late 1990s and 2000s cannot be attributed to fishing alone. Recruit-per-adult declined after the mid 1990s. Modeled stock recovery times under constant environmental conditions are on order of 10–15 or more years depending on the exploitation rate. Under base conditions a proportional fishery that removes approximately 25% of the stock, or a littleneck fishery that removes approximately 37.5% of that size class annually would provide the best economic returns under constant average environmental conditions. Slightly less harvest would be desirable to avoid overfishing in years of less than optimal environmental conditions.

New cod war of words: ‘Cod is God’ versus ‘sod the cod’—Two opposed discourses on the North Sea Cod Recovery Programme

New insights into the North Sea Cod Recovery Programme (CRP), initiated in 2003 by the European Commission to reverse the long-term decline in cod stocks, are presented using discourse analysis. The main conservation measures taken under the CRP have been to reduce catch limits drastically and to increase control over vessels’ fishing activities. There has been considerable controversy over the programme from its inception, with protagonists broadly divided into two discourses: (1) ‘cod is God’—in which cod has assumed the status of the defining test of the European Union's (EU) resolve to manage fish stocks sustainably in EU waters; (2) ‘sod the cod’—in which cod is regarded as one of a number of target commercial fish species, with no special status. Drawing on Frank Fischer's distinction between hegemonic and challenging discourses, we analyse the conflict between them at three levels: empirical; conceptual; and political. We consider moves to reconcile the two discourses in a policy consensus on a revised CRP, which suggest that the challenging discourse (sod-the-cod) has had some success in modifying the impact of the hegemonic discourse (cod-is-God).

Fishery decline in Utila: Disentangling the web of governance

The commercial fish stock of Utila, Honduras, appears to be in danger of acute decline. In order to establish the perceived scale of decline, identify perceptions of its causes and potential remedies, and views on past, present and future management strategies, this paper employed a discourse analysis of interview transcripts from primary and key stakeholders. This illustrated that most stakeholders recognised the decline but felt powerless to take the necessary steps to reverse it. The Utilian market-oriented mode of fisheries governance was perceived to have exacerbated the decline, and subsequently, it appeared that two modes of fisheries governance were implicitly endorsed: (1) voluntary authoritarianism and (2) community co-management. This paper concludes that voluntary authoritarianism is more likely to succeed in curbing the unprecedented Utilian commercial fish stock decline in the short-term, in preparation for community co-management, a more permanent and sustainable solution. Based on the above, the paper advises caution with regards to allowing market forces to determine how fisheries are governed, and emphasises the need for enforcing strict regulations on fisheries before contemplating a transition to a more participative mode of fisheries governance.

Old Capital vs. New Investment in Post-Soviet Economies: Conceptual Issues and Estimates

The paper evaluates levels and trends in capital accumulation in countries of the Commonwealth of Independent States (CIS) since the start of market reforms. Based on certain assumptions about the survival rate of the old Soviet era capital and perpetual inventory method to account for new investments, we estimate the amount of ‘market-quality’ capital accumulated in the CIS economies in the 1992–2005 period. Over the period of observation, in Russia the losses of the 1990s were largely restored while most other countries saw a decline in capital stock. Russia remains the highest capitalised CIS country with capital–labour ratio (K/L) of about $40,000 per worker. The lowest capitalised countries have K/L's from $10 to $13,000. Growth accounting using market-quality capital stock shows that the key factor of GDP changes was the dynamics of total factor productivity.

Downward‐Sloping Demand Curves, the Supply of Shares, and the Collapse of Internet Stock Prices

ABSTRACTOver March and April 2000, Internet stocks lost 56%, or $700 billion. This sudden collapse has been attributed to an increasing supply of shares from lockup expirations and equity offerings. I show that Internet stocks collapsed in this period regardless of whether their lockups expired. Furthermore, daily Internet stock portfolio returns were almost unaffected by the number or dollar amount of lockup expirations that day, or by the amount of stock offered in IPOs or SEOs. Most of the Internet stock decline is explained by poor marketwide returns, particularly for growth stocks.

Diatom stratigraphy and long-term dissolved silica concentrations in the Baltic Sea

In many parts of the world coastal waters with anthropogenic eutrophication have experienced a gradual depletion of dissolved silica (DSi) stocks. This could put pressure on spring bloom diatom populations, e.g. by limiting the intensity of blooms or by causing shifts in species composition. In addition, eutrophication driven enhanced diatom growth is responsible for the redistribution of DSi from the water phase to the sediments, and changes in the growth conditions may be reflected in the sediment diatom stratigraphy. To test for changes in diatom communities we have analyzed four sediment cores from the Baltic Sea covering approximately the last 100 years. The sediment cores originate from the western Gulf of Finland, the Kattegat, the Baltic Proper and the Gulf of Riga. Three out of the four cores reveal only minor changes in composition of diatom assemblages, while the Gulf of Riga core contains major changes, occurring after the second World War. This area is set apart from the other Baltic Sea basins by a high frequency of low after spring bloom DSi concentrations (< 2 µmol L − 1 ) during a relatively well defined time period from 1991–1998. In 1991 to 1993 a rapid decline of DSi spring concentrations and winter stocks (down to 5 µmol L − 1 ) in the Gulf was preceded by exceptionally intense diatom spring blooms dominated by the heavily silicified species Thalassiosira baltica (1991–1992; up to 5.5 mg ww L − 1 ). T. baltica has been the principal spring bloom diatom in the Gulf of Riga since records began in 1975. DSi consumption and biomass yield experiments with cultured T. baltica suggest that intense blooms can potentially exhaust the DSi stock of the water column and exceed the annual Si dissolution in the Gulf of Riga. The phytoplankton time series reveals another exceptional T. baltica bloom period in 1981–1983 (up to 8 mg L − 1 ), which, however, took place before the regular DSi measurements. These periods may be reflected in the conspicuous accumulation of T. baltica frustules in the sediment core corresponding to ca. 1975–1985.

Le biodiesel. I. Caractéristiques, atouts et limites — une synthèse

Biodiesel, a fuel derived from animal or vegetable oil and fats, is presented in this paper. More specifically, its physico-chemical properties as well as the raw materials and existing standards are described. The advantages, limitations, and future of biodiesel are discussed. Biodiesel offers significant environmental advantages over petrodiesel: its combustion produces fewer atmospheric emissions of pollutants and greenhouse gases; in addition, it biodegrades easily and does not present a major risk during storage. On the other hand, the substitution of biodiesel for petrodiesel usually causes an increase in fuel consumption by engines. In addition, according to various estimates, the price of biodiesel is higher than that of petrodiesel. Nevertheless, biodiesel is easy to produce and, with the anticipated decline in stocks of fossil fuels, it constitutes an interesting substitute that should become increasingly used in the next decade.

Contraction of the banana prawn (Penaeus merguiensis) fishery of Albatross Bay in the Gulf of Carpentaria, Australia

When the biomass and area occupied by a stock decline together, catch rates can remain high (hyperstability) and management with effort controls may be ineffectual. Banana prawn (Penaeus merguiensis) catches declined from 2000 until 2005 in the Albatross Bay area in the Gulf of Carpentaria (GOC), Australia. Data from commercial logbooks were used to investigate historical changes in the banana prawn fishery in this and other regions of the Northern Prawn Fishery to infer the potential causes of this decline. Data since 1970 were analysed using: (1) the mapping of catch and effort; and (2) normalised rank order catch curves, to determine the distribution of catches across fishing areas. These analyses show that there has been a marked contraction of the Albatross Bay fishery over 33 years of fishing into the centre of a stable ‘hotspot’, suggesting a potential mechanism for the observed negative relationship between catchability and biomass. We believe this is the first observation of a Peneaus prawn fishing ground contracting as biomass declines, supporting the view that the contraction of an area occupied by a stock as biomass declines, is a generalised phenomena observed widely across fisheries resources and not a dynamic confined to certain finfish and molluscs.

Asymmetric Return and Volatility Responses to Composite News from Stock Markets

This paper examines the hypothesis that both stock returns and volatility are asymmetric functions of past information derived from domestic and U.S. stock-market news. The results show the presence of negative autocorrelation, which is consistent with the dominance of positive-feedback trading behavior. By employing a double-threshold autoregressive GARCH model to investigate four major index-return series, the study finds significant evidence to sustain the asymmetric hypothesis of stock returns. Specifically, this paper finds that negative news will cause a decline in national stock returns that is larger than the gain caused by good news of an equivalent magnitude. This also holds true for the conditional variance. The return appears to be more volatile and persistent when bad news hits the market than when good news does.