Optimal management with reversible regime shifts

• Published in: Journal of economic behavior & organization Vol. 132; pp. 124 - 136
• Main Authors: Baggio, Michele, Fackler, Paul L.
• Format: Journal Article
• Language: English
• Published: Elsevier B.V 01.12.2016
• Subjects: Adaptive management; Bioeconomic modeling; Fisheries; Partial observability; Partially Observable Markov Decision Process; Regime switching; Partially Observable Markov Decision Process; Fisheries; Partial observability; Adaptive management; Bioeconomic modeling; Regime switching

In this paper we examine the management of a natural resource, a fishery, subject to regime shifting dynamics. A regime shift is defined as an episode in which the dynamics of the resource can switch between two alternative regimes at random times. Specifically, we study the impact of reversible reg...