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This report deals with the general problem of regulating fishing effort and, in particular, with methods of controlling the expansion of fishing capacity in commercial fleets. In the first part, the author exposes the rationale for government intervention and the various management problems which may have to be considered by a regulatory policy; he then identifies a number of criteria that are likely to guide governments in a selection of alternative approaches to management. Part II deals more directly with policy development in Mediterranean trawl fisheries; it summarizes current arrangements in several countries and suggests management measures which might help in solving the problems of overcapacity which affects the trawl fishery, leaving to the countries the choice of appropriate measures according to their own socio-economic and political context.