negative effect on marine life, such as manatees and other marine mammals; using coastal waters for sewage and sludge disposal is inimical to recreation and compromises the quality of underwater habitats; aquaculture can interfere with fisheries and navigation and can be aesthetically unappealing; naval target practice can disturb wildlife protection areas. Economists call these costs externalities because they are not reflected in market transactions or cost accounting. Because organizations and individuals do not have strong economic incentives for considering externalities in their decisions, they must often be dealt with through regulation or informal sanctions. Several regulatory approaches can be used to increase the incentives for limiting environmental impacts.

In situations where the combined use of a resource is less valuable than single use, separating them in space or time can be useful. Zoning is one method often used to reduce externalities on land (Kelly, 1988). Especially in the near-shore environment, zoning is a relatively low-cost, effective management option for dealing with conflicting uses. In the marine and coastal environment, zoning has been used to segregate commercial, recreational, and aquacultural activities; to protect wildlife sanctuaries and the marine environment generally; and to isolate waste disposal sites. Sensitive near-shore areas are often zoned as low speed or no wake areas. Certain vessels, such as oil tankers or other carriers of hazardous cargo, may be required to use specific routes to separate them from protected features of the marine environment. Zoning is used to isolate military areas, such as bombing ranges, submarine surfacing areas, and areas that affect national security. Energy installations, such as oil production facilities, are often subject to zoning restrictions similar to waste disposal sites. Another example of zoning is Hawaii's restriction confining high-speed boating and other high-speed water sports to designated ocean recreation areas.

Marine and coastal protected areas (MCPAs) are a legislative tool for protecting marine resources in a defined geographic marine or coastal area. The primary objectives of MCPAs are to preserve marine biodiversity, to maintain the productivity of marine ecosystems, and to contribute to the economic and social welfare (Kelleher et al., 1995), MCPAs have been designated in response to emergencies (e.g., extinction of a species) or, in one case, in conjunction with a land-based park.

Making parties legally liable for the economic damages they inflict on others is another well established method for dealing with conflicting uses. Private parties who have property rights in the marine environment can sue to recover

Front Matter (R1-R14)

Executive Summary (1-7)

1. Introduction (8-16)

2. The Way Things Are Now (17-47)

3. Lessons Learned (48-70)

4. Organizational and Behavioral Issues (71-86)

5. Improving Marine Governance (87-102)

6. Improving Marine Management (103-116)

7. Conclusions and Recommendations (117-120)

References (121-126)

Acronyms (127-128)

Appendix A: Biographical Sketches of Committee Members (129-135)

Appendix B: Background Paper: Issues in Marine Area Governance and Management (136-156)

Appendix C: Participants in Committee Meetings (157-160)

Appendix D: Financing Options (161-168)

Index (169-177)