In many fisheries around the world, the failures of centralized, top-down management have produced a shift toward co-management—collaboration and sharing of decision making between government and stakeholders. This trend has led to a major debate between two very different co-management approaches—community-based fishery management and market-based individual transferable quota management. This paper examines the debate over the relative merits of these models and undertakes a socioeconomic analysis of the two approaches. The paper includes (1) an analysis of differences in the structure, philosophical nature, and underlying value systems of each, including a discussion of their treatment of property rights; (2) a socioeconomic evaluation of the impacts of each system on boat owners, fishers, crew members, other fishery participants, and coastal communities, as well as the distribution of benefits and costs among fishery participants; and (3) examination of indirect economic effects that can occur through impacts on conservation and fishery sustainability. The latter relate to (a) the conservation ethic, (b) the flexibility of management, (c) the avoidance of waste, and (d) the efficiency of enforcement. The paper emphasizes the need for a broader approach to analyzing fishery management options, one that recognizes and properly assesses the diversity of choices, and that takes into account the interaction of the fishery with broader community and regional realities.

Research in recent decades has shown that although conventional fisheries management strategies such as fishing seasons, size limits, or gear restrictions can provide sufficient biological protection to fisheries stocks, they do not necessarily lead to satisfactory social or economic outcomes. In their stead, the merits and shortcomings of a variety of alternate management systems, including individual transferable quotas, have been proposed, implemented, and analyzed. Few investigations, however, have examined actual fishers' preferences for different management systems. Integrating results from a mail survey of North Carolina commercial fishers with their individual harvest histories and sociodemographic profiles shows that economic and cultural variables both play a significant role in management system preference. The analysis introduces the use of the Herfindahl-Hirschman Index (HHI), a measure of investment diversity, as a measure of diversity in fisheries harvests and demonstrates an association with management preferences. Social and family factors are also notable indicators.