Marine oil spills usually harm organisms at two interfaces: near the water surface and on shore. However, because of the depth of the April 2010 Deepwater Horizon well blowout, deeper parts of the Gulf of Mexico are likely impacted. We estimate the potential negative economic effects of this blowout and oil spill on commercial and recreational fishing, as well as mariculture (marine aquaculture) in the US Gulf area, by computing potential losses throughout the fish value chain. We find that the spill could, in the next 7 years, result in (midpoint) present value losses of total revenues, total profits, wages, and economic impact of US$3.7, US$1.9, US$1.2, and US$8.7 billion, respectively. Commercial and recreational fisheries would likely suffer the most losses, with a respective estimated US$1.6 and US$1.9 billion of total revenue losses, US$0.8 and US$1.1 billion in total profit losses, and US$4.9 and US$3.5 billion of total economic losses.

Item Type:	Refereed Article
Keywords:	blowout; commercial activity; deep water; economic impact; fish; fishery economics; fishing; mariculture; oil spill; profitability; recreational activity; well technology; Atlantic Ocean; Gulf of Mexico; United States
Research Division:	Agricultural, Veterinary and Food Sciences
Research Group:	Fisheries sciences
Research Field:	Aquaculture and fisheries stock assessment
Objective Division:	Animal Production and Animal Primary Products
Objective Group:	Fisheries - wild caught
Objective Field:	Wild caught fin fish (excl. tuna)
UTAS Author:	Watson, RA (Professor Reginald Watson)
ID Code:	82825
Year Published:	2012
Web of Science® Times Cited:	92
Deposited By:	Sustainable Marine Research Collaboration
Deposited On:	2013-02-19
Last Modified:	2017-11-03
Downloads:	0