1.8 cents per year. Louisiana had the smallest estimated annual price

increase averaging about 1.0 cents per year.

 The estimated catch and price equations were placed into the theo-

retical framework developed in this study to estimate maximum economic

yield for the GMRFF. To update the model, the price equations were

inflated to 1979 levels by using the time trend variables. In addition,

the derived equilibrium form of the catch equations were utilized to

ensure a biological equilibrium would be present in the final solution.

Fishing power was exogenously fixed for vessels in each state at 1975

levels of average crew size and average vessel size. Thus, the main

decision variables in the model were the catch of reef fish in each

state and the corresponding number of vessels in each state.

 Costs relating to vessels in the model were estimated from survey

data. The costs utilized corresponded to the annual total operating

and maintenance cost of a vessel of given size minus crew shares and

grocery expenses. The subtraction of crew shares from total cost was

based on the assumption that the captain and crew on each boat consti-

tute a psuedo partnership with the terms of the partnership being

determined by the share agreement. Thus, profit in the fishery cor-

responded to the aggregate returns over cost attributable to these

partnerships. All costs were expressed in terms of 1979 dollars.

 The GMRFF model was solved for maximum economic yield using a

quadratically convergent Newton-like numerical optimization algorithm.

Maximum economic yield in the reef fishery was estimated to be approxi-

mately 11.5 million pounds. The optimum number of vessels necessary to

produce this catch was estimated to be 180 (235 standardized variables).