Economic Research Helps Manage Invasive Species
Craig
Osteen
Trade is essential to U.S. agriculture.
U.S. exports account for as much as 30 percent of
total farm receipts. Increased movement of people
and products across international borders heightens
the risk of introducing invasive species—such
as the longhorn beetle or the imported fire ant—that
can reduce crop and livestock production or harm
natural resources and amenities.
In response, ERS initiated the
Program of Research on the Economics of Invasive
Species Management (PREISM) in 2003, whereby ERS
funds several extramural research projects each
year and conducts inhouse research (see Public
Information Creates Value, in this issue). PREISM
research focuses on three general themes: international
dimensions of invasive species prevention and management;
development and application of methods to analyze
important invasive species issues, policies, and
programs; and analysis of economic, institutional,
and behavioral factors affecting decisions to prevent
or manage invasive species.
As global trade in agricultural
products continues to grow, so too does the need
to develop policy tools to address the potential
spread of invasive species. Do international market
failures propagate invasive species? Is public enforcement
of trade-related regulations effective? How are
firms reacting to trade-related regulation? PREISM
research projects are examining such issues, as
well as how to regulate invasive species introduced
through maritime trade and the effects of invasive
species on international trade in forest products.
Decisionmakers need practical
tools and analysis to evaluate alternative strategies
for managing invasive species. The application of
economic and data management tools and techniques
can inform USDA decisions and actions related to
invasive species prioritization, detection, monitoring,
management, and regulation. One PREISM study focuses
on three important diseases: foot-and-mouth disease,
classical swine fever, and highly pathogenic avian
influenza. A resultant model will rapidly estimate
the market impacts of disease-related animal cull,
export market disruption, or adverse consumer reaction
following an outbreak. Such cost-benefit analysis
can be used by USDA in rulemaking and evaluation
of alternative control and surveillance procedures.
Public and private sector institutions
are motivated by different incentives and thus are
likely to take different actions to prevent and
manage invasive species. Understanding the interactions
between public and private sector institutions will
also inform policy design. Another PREISM-funded
study evaluates how agronomic, ecological, and economic
factors influence State-level noxious weed lists
and how different lists affect interstate seed and
commodity trade.
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