Robert K. Lindner

The time to adoption

Abstract A decision-theoretic model of the decision to adopt a process innovation is developed, and used to derive a simple result for the time lag from a decision makers first knowledge of the innovation to his first use of it.

Rent Generation During the Transition to a Managed Fishery: The Case of the New Zealand ITQ System

This paper examines the generation of resource rent during the transition from an over-exploited to an efficiently managed fishery. A simple theoretical model is used to demonstrate that current industry returns may be low or even negative during this adjustment phase. A case in point is the New Zealand commercial fisheries which have recently become subject to a Quota Management System. Three sources of evidence on the level of resource rents generated during the initial years of the Quota Management System are examined and compared. These sources are: annual profitability data; the market price of perpetual quota; and the market price of annual lease quota. The evidence in some cases appears to be contradictory and an attempt is made to resolve or explain such differences. It is concluded that a better understanding of price determination in the quota market is required in order to draw correct inferences about rent generation.

A Model of Mineral Exploration and Resource Taxation

A model of optimal mineral exploration effort is used to determine sufficient conditions for a resource rent tax to be neutral with respect to exploration effort. Analyses the revenue implications of different rates of resource rent tax. Firms are assumed to use decision making processes which are implicitly Bayesian in determining how much exploratory information to acquire prior to deciding whether or not to extract. Relates the tax rate and expected revenue from a resource rent tax. Takes account of the impact of the tax on mineral exploration, the likelihood of mining and consequent long-run mineral supply.

On the optimal resource rent tax

Total payments to government by a mineral exploration firm which follows Bayesian procedures when deciding on exploration plans are shown to vary with the rate of resource rent tax in a two part tax scheme which also includes a competitive auction of the right to explore and mine. If the explorer is risk neutral, then a zero tax rate maximises government revenue.

A Note on Optimal Effort in the Maldivian Tuna Fishery

This note argues that spatial considerations and travel costs should be taken into account in devising tax/subsidy regulations for island-based tuna fisheries. In particular, the effect of a landings tax on distant fishing grounds should be considered when setting the level of the tax. A fuel subsidy is suggested as a means of offsetting the impact of the landings tax on marginal grounds.

On the optimal resource rent tax: erratum

Abstract This paper originally appeared in Economics Letters, Vol.13, Nos. 2–3 (1983) pp. 263–268.