Date of Award
Master of Arts in Marine Affairs
The Oil Embargo of 1973 emphasized not only how oil dependent the fishing industry has become but that the days of inexpensive energy had ended. Oil prices have risen dramatically, but so have the price tags on new technologies, labor, vessel renovation, new construction and the cost of procuring capital for making improvements. However, one must focus on the long range picture versus the short term snap shot. This can be accomplished by looking at two aspects of the problem. First, as costs increase so does the price of fish in the marketplace. There is a point however where the consumer will substitute another good which is less expensive and/or perceived to be a better buy. Therefore, there is a ceiling price above which the fisherman cannot sell his product. To remain competitive in the market place he must be cost conscious. Second, dollars, though expensive today, would be well spent if used to significantly reduce the dependency upon a cost item whose price continually increases. As the price of the cost item goes up, the real dollar cost of the money borrowed goes down. Therefore it would be to the fisherman's advantage to spend on innovations that will conserve on cost items providing his operation is financially sound enough to borrow the capital required.
Taylor, Gerald H., "Fuel Saving Methods for the Commercial Fishing Fleet" (1981). Theses and Major Papers. Paper 169.