Document Type

Honors Thesis

Major

Finance

Advisor(s)

Stefano Tijerina

Committee Members

Melissa Ladenheim, Julia McGuire, Ronald Roope, Richard Wahle

Graduation Year

May 2020

Publication Date

Spring 5-2020

Abstract

The effects of climate change are often not visible to the human eye and can, therefore, be hard to detect. As society has progressed since the industrial revolution, the effects of climate change are omnipresent in global, regional, and local air and water temperatures. This research aims to highlight the correlation between the effects of climate change on potentially rising ocean water temperatures in the Gulf of Maine, and the possible resulting adverse impacts on Maine’s lobster industry and state economy. I will be using data compiled over the last several decades from the University of Maine’s Climate Change Institute and Lobster Institute, and the National Oceanic and Atmospheric Administration (NOAA) to provide findings on price per pound, and annual landings, commercial fishing employment rates, and costs of supply chain management, all of which contribute to overall economic impact. I am interested in finding out if warming temperatures in the Gulf of Maine adversely affect the lobstering industry; and whether these effects have led or will lead to significant changes in Maine’s Gross Domestic Product and economic growth. To test my hypothesis, I will be analyzing past and current data, as well as projections looking into the future to evaluate the implications of current or future threats to the Gulf of Maine’s lobster stock and economy.

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