In the La Moskitia region of Honduras, boom and bust cycles have dominated the local economy since the 1600's. The most recent of the cycles is driven by the lobster-diving industry, which has been a main source of income in La Moskitia since the 1970's. Since then lobster-diving has not only become unsustainable, but has had many negative social, economic and environmental impacts. The Honduran government has set a goal of phasing out lobster-diving in La Moskitia by 2013 but has been unable to provide sufficient alternatives for those who work in the industry. If more options are not made available by the 2013 deadline, this decision will cripple the local economy. This thesis analyzes the role of the lobster-diving in La Moskitia and examines possible alternative economic opportunities in the region.