New trade in renewable resources and consumer preferences for diversity

Arbeitspapier

The literature on trade in renewable resources implicitly assumes that the traded resources are perfect substitutes. We model trade in renewable resources as stipulated not only by autarky price differences, but also by consumers' love of variety. We show that the love-of-variety effect enables welfare gains from trade even if total consumption decreases. Total consumption may decrease because the love of variety weakens the link between resource scarcity and demand. If consumers are willing to pay the rising prices for harvests from increasingly depleted stocks, trade liberalization may end in stock collapse. The love of variety may thus threaten variety.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: Economics Working Paper ; No. 2014-08

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Renewable Resources and Conservation: Demand and Supply; Prices ; Renewable Resources and Conservation: Fishery; Aquaculture ; Renewable Resources and Conservation: Forestry ; Renewable Resources and Conservation: Issues in International Trade ; Trade and Environment
• Thema: trade ; environment ; renewable resources ; open access ; love of variety

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Quaas, Martin F. ; Stöven, Max T.
• Ereignis: Veröffentlichung
• (wer): Kiel University, Department of Economics
• (wo): Kiel
• (wann): 2014

Weitere Informationen

• Handle: http://hdl.handle.net/10419/97298
• Letzte Aktualisierung: 10.03.2025, 11:43 MEZ