EEP 101 Lecture 16c_Invasive pests 1

EEP 101 Lecture 16c_Invasive pests 1 - A Rational invasive...

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A Rational invasive species control policy David Zilberman
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The Drivers of the Invasive Pest Problems Globalization/international trade Climate change Terrorism Each of these drivers has to be analyzed with respect to: Pathways and spread of invasive pests Their impact Actions to control invasive species
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Features of Research on Invasive Species Data-driven Research-oriented Interdisciplinary Aspects of research to be emphasized are: Dynamics Spatial spread Risk and uncertainty
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Globalization and Invasive Species Migration of species is not always bad. It can be very beneficial. The diffusion of species over space has been a critical driver of history. The mustangs of the Americas originated in Asia. Tomatoes and potatoes migrated from the New World to the Old World. Species transfer like technology transfer can do much good. However, it can cause disease and losses,e.g. global spread of infection over time.
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Fear of Invasive Species May Lead to “Biological Autarky.” A response to the danger of infestation, invasive species, etc., is “biological autarky.” Restrict the transfer, ban, and exchange materials to preserve “genetic purity.” Rely only on native plants and species. Banning & heavy restriction of material movement is inefficient ( civilizations that took advantage of biological diffusion of beneficial species and genetic materials thrived, (“Guns,Germs and Steel”)) Need to balance benefits and cost of genetic transfers
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Welfare Economic Perspective: Regulating Invasive Pests Gov’t maximizes social welfare subject to constraints Social Welfare is sum of expected value of: Consumer surplus (food consumption, low prices, safety) Producer surplus Grower profits (crop losses, treatment costs, increased revenue) Agribusiness profit (revenue losses, damage control costs) Net gov’t expenditures Monitoring and treatment costs (outside and inside the country and at the border) Revenues from penalties
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Policy Constraints Budget of regulatory agencies Behavior of economic agents Profit maximizing importers adjust to regulation Due care and safety enhancing innovation Product modification and supply management leading to reduced quality, supply, and choice Smuggling, falsifying documents Port shopping Profit maximizing growers Control of invasive species Modify crop selections Surplus maximizing consumers Concern about pesticide residue and drift Modify consumption patterns
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Policy Constraints (continued) Market clearing relationships Output supply Input demand Political and legal constraints
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EEP 101 Lecture 16c_Invasive pests 1 - A Rational invasive...

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