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There are many fish landing areas in southern Iran, distributed all along the coastline, and despite gradually increasing effort, the total catch has fluctuated in recent years. This study examines the technical efficiency of the fishing industry, and identifies factors that could be causing inefficiency. A stochastic production function among fishery vessels is estimated. Technical efficiency measures the ability of firms to maximize output using a given set of inputs and technologies. The results indicate that technical efficiency in the fishery is relatively low, and that wooden vessels of medium size are more efficient than small fibreglass vessels. Both skippers' socio-economic drivers and vessel instrumentation have a significant impact on efficiency. Ownership of two-way radio and ownership of GPS are important considerations that influence fishing efficiency, and the skipper's level of education and experience are qualities that also affect it. Owner-operated vessels and younger skippers are more efficient than others. Understanding these constraints may contribute to increasing the efficiency of the Iranian fishery in the Persian Gulf.

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Appropriate water resource allocation in dry land area is very important for farm management. Although very few systems for water distribution have efficient pricing, water resources should be allocated so that the marginal cost equals the marginal value product of water for all uses and users. When the marginal values are not equal, it is always possible to find a reallocation of water that increases net social benefits. Microeconomic techniques used for estimating the value of water and determining farmers' willingness to pay include: net-back analysis, hedonic models, and optimization models. The main objective of this study was to compare marginal value product of irrigation water applied to grow the selected crops in the southern Iran. We used net-back analysis to evaluate agricultural water value in the Hormozgan province (southern Iran). The empirical information is drawn from the agricultural service agencies and survey from farmer's respondents. Data set is included quantity of output, prices, and costs of selected crops and water. The calculated net-back value for each product indicates the maximum ability to pay (MATP) or the shadow price of water used in irrigation. That is, if a farmer pays that amount for water he gets neither benefit nor loss. The results indicated that among selected crops, cucumber and lime had the highest return for water use. The most important management implication of this study is the reallocation of irrigation water according to the economic value of water in various crops.