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Public policy and private incentives for livestock disease control

Author

Listed:
  • Bicknell, Kathryn
  • Wilen, James E.
  • Howitt, Richard E.

Abstract

This article presents a dynamic bioeconomic model of livestock disease control that is unique in its integration of disease dynamics, inter‐species interaction, control‐induced migration, and individual optimising behaviour. Examination of the first‐order conditions highlights why profit‐maximising producers cannot be expected to eradicate disease. Results from an empirical application of the model confirm that the current mix of policies to control bovine tuberculosis in New Zealand is achieving lower levels of prevalence than would prevail in the absence of a national strategy. These policies do, however, appear to remove some of the individual incentive to control disease.

Suggested Citation

  • Bicknell, Kathryn & Wilen, James E. & Howitt, Richard E., 1999. "Public policy and private incentives for livestock disease control," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 43(4), pages 1-21, December.
    • Handle: RePEc:ags:aareaj:117214
    DOI: 10.22004/ag.econ.117214
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    References listed on IDEAS

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    1. Liu, Chun-Ian, 1979. "An Economic Impact Evaluation of Government Programs: The Case of Brucellosis Control in the United States," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 11(1), pages 163-168, July.
    2. Umali, Dina L & Feder, Gershon & de Haan, Cornelis, 1994. "Animal Health Services: Finding the Balance between Public and Private Delivery," The World Bank Research Observer, World Bank, vol. 9(1), pages 71-96, January.
    3. Liu, Chun-Ian, 1979. "An Economic Impact Evaluation Of Government Programs: The Case Of Brucellosis Control In The United States," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 11(1), pages 1-6, July.
    4. Richard B. Standiford & Richard E. Howitt, 1992. "Solving Empirical Bioeconomic Models: A Rangeland Management Application," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(2), pages 421-433.
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