IDEAS home Printed from https://ideas.repec.org/a/kap/enreec/v85y2023i2d10.1007_s10640-023-00772-8.html
   My bibliography  Save this article

Can We Love Invasive Species to Death? Creating Efficient Markets for Invasive Species Harvests

Author

Listed:
  • Benjamin Meadows

    (University of Alabama-Birmingham)

  • Charles Sims

    (University of Tennessee)

Abstract

Bounties and rebranding are an increasingly popular tool to control or eliminate invasive species that have consumptive values. However, there is concern that such policies will undermine eradication efforts and may exacerbate the spread of these species. We develop and apply an optimal dynamic harvesting model to identify policies that correct market failures associated with commercially valuable invasive species. Competing market failures imply that welfare-enhancing policies may either encourage or discourage harvesting of the invasive species. A species’ dual role as both a pest and commodity creates a nonconvexity that alters incentives to eradicate or exacerbate an invasion. We apply the model to the invasion of silver carp in the United States to show that many current carp subsidies are too low and identify a threshold level of rebranding effectiveness necessary to make rebranding a cost-effective policy choice compared to harvest subsidies.

Suggested Citation

  • Benjamin Meadows & Charles Sims, 2023. "Can We Love Invasive Species to Death? Creating Efficient Markets for Invasive Species Harvests," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 85(2), pages 443-477, June.
    • Handle: RePEc:kap:enreec:v:85:y:2023:i:2:d:10.1007_s10640-023-00772-8
    DOI: 10.1007/s10640-023-00772-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10640-023-00772-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10640-023-00772-8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Clark, C. W. & Lamberson, R., 1982. "An economic history and analysis of pelagic whaling," Marine Policy, Elsevier, vol. 6(2), pages 103-120, April.
    2. Dirk Bergemann & Juuso Valimaki, 1997. "Market Diffusion with Two-Sided Learning," RAND Journal of Economics, The RAND Corporation, vol. 28(4), pages 773-795, Winter.
    3. Clark, Colin W, 1973. "Profit Maximization and the Extinction of Animal Species," Journal of Political Economy, University of Chicago Press, vol. 81(4), pages 950-961, July-Aug..
    4. Melina Kourantidou & Brooks A. Kaiser, 2019. "Research agendas for profitable invasive species," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 8(2), pages 209-230, April.
    5. Lovell, Sabrina J. & Stone, Susan F. & Fernandez, Linda, 2006. "The Economic Impacts of Aquatic Invasive Species: A Review of the Literature," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 35(1), pages 1-14, April.
    6. Shogren, Jason F. & Tschirhart, John, 2005. "Integrating ecology and economics to address bioinvasions," Ecological Economics, Elsevier, vol. 52(3), pages 267-271, February.
    7. Modis, Theodore, 2007. "The normal, the natural, and the harmonic," OSF Preprints 84tgs, Center for Open Science.
    8. Daniel Rondeau & Erwin Bulte, 2007. "Wildlife Damage and Agriculture: A Dynamic Analysis of Compensation Schemes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(2), pages 490-507.
    9. Cropper, M. L., 1988. "A note on the extinction of renewable resources," Journal of Environmental Economics and Management, Elsevier, vol. 15(1), pages 64-70, March.
    10. Daniel Rondeau & Jon M. Conrad, 2003. "Managing Urban Deer," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 266-281.
    11. Farrow, Scott, 1995. "Extinction and market forces: two case studies," Ecological Economics, Elsevier, vol. 13(2), pages 115-123, May.
    12. Richard Horan & Erwin Bulte, 2004. "Optimal and Open Access Harvesting of Multi-Use Species in a Second-Best World," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 28(3), pages 251-272, July.
    13. Richard D. Horan & Charles Perrings & Frank Lupi & Erwin H. Bulte, 2002. "Biological Pollution Prevention Strategies under Ignorance:The Case of Invasive Species," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(5), pages 1303-1310.
    14. Huth, William L. & McEvoy, David M. & Morgan, O. Ashton, 2018. "Controlling an Invasive Species through Consumption: The Case of Lionfish as an Impure Public Good," Ecological Economics, Elsevier, vol. 149(C), pages 74-79.
    15. Rondeau, Daniel, 2001. "Along the Way Back from the Brink," Journal of Environmental Economics and Management, Elsevier, vol. 42(2), pages 156-182, September.
    16. Cropper, M. L. & Lee, Dwight R. & Pannu, Sukhraj Singh, 1979. "The optimal extinction of a renewable natural resource," Journal of Environmental Economics and Management, Elsevier, vol. 6(4), pages 341-349, December.
    17. Schulz, Carl-Erik & Skonhoft, Anders, 1996. "Wildlife management, land-use and conflicts," Environment and Development Economics, Cambridge University Press, vol. 1(3), pages 265-280, July.
    18. Lewis, Tracy R & Schmalensee, Richard, 1977. "Nonconvexity and Optimal Exhaustion of Renewable Resources," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(3), pages 535-552, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jungers, Brenna & Abbott, Joshua K. & Bair, Lucas S., 2024. "Casting Away Invaders," 2024 Annual Meeting, July 28-30, New Orleans, LA 344017, Agricultural and Applied Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fischer, Carolyn & Sterner, Thomas & Muchapondwa, Edwin, 2005. "Bioeconomic Model of Community Incentives for Wildlife Management Before and After CAMPFIRE," RFF Working Paper Series dp-05-06, Resources for the Future.
    2. Xie, Fang & Horan, Richard D., 2008. "Disease and Behavioral Dynamics for Brucellosis in Elk and Cattle in the Greater Yellowstone Area," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6404, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Olson, Lars J. & Roy, Santanu, 1996. "On Conservation of Renewable Resources with Stock-Dependent Return and Nonconcave Production," Journal of Economic Theory, Elsevier, vol. 70(1), pages 133-157, July.
    4. Xie, Fang & Horan, Richard D., 2009. "Disease and Behavioral Dynamics for Brucellosis Control in Elk and Cattle in the Greater Yellowstone Area," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 34(1), pages 1-23.
    5. Rondeau, Daniel, 1998. "The Dynamics Of Reintroducing, Supplementing And Controlling Endangered Predator Populations," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20812, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Finnoff, David & Potapov, Alexei & Lewis, Mark A., 2010. "Control and the management of a spreading invader," Resource and Energy Economics, Elsevier, vol. 32(4), pages 534-550, November.
    7. Winkler, Ralph, 2011. "Why do ICDPs fail?: The relationship between agriculture, hunting and ecotourism in wildlife conservation," Resource and Energy Economics, Elsevier, vol. 33(1), pages 55-78, January.
    8. Jensen, Frank & Jacobsen, Jette Bredahl & Thorsen, Bo Jellesmark, 2016. "Designing hunting regulation under population uncertainty and self-reporting," Journal of Forest Economics, Elsevier, vol. 24(C), pages 157-171.
    9. Birgit Bednar-Friedl & Doris Behrens & Michael Getzner, 2012. "Optimal Dynamic Control of Visitors and Endangered Species in a National Park," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 52(1), pages 1-22, May.
    10. Tsur Yacov & Zemel Amos, 1995. "Uncertainty and Irreversibility in Groundwater Resource Management," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 149-161, September.
    11. Y. Farzin & K. Akao, 2015. "Poverty, social preference for employment, and natural resource depletion," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 17(1), pages 1-26, January.
    12. Enriquez, Aaron J. & Finnoff, David C., 2021. "Managing mortality of multi-use megafauna," Journal of Environmental Economics and Management, Elsevier, vol. 107(C).
    13. Tapan Mitra & Gerhard Sorger, 2014. "Extinction in common property resource models: an analytically tractable example," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 57(1), pages 41-57, September.
    14. Nævdal, Eric & Skonhoft, Anders, 2018. "New insights from the canonical fisheries model – Optimal management when stocks are low," Journal of Environmental Economics and Management, Elsevier, vol. 92(C), pages 125-133.
    15. Yajie Liu & Jon Olaf Olaussen & Anders Skonhoft, 2011. "When a Fish is a Fish: The Economic Impacts of Escaped Farmed Fish," Working Paper Series 12011, Department of Economics, Norwegian University of Science and Technology.
    16. Rondeau, Daniel, 2001. "Along the Way Back from the Brink," Journal of Environmental Economics and Management, Elsevier, vol. 42(2), pages 156-182, September.
    17. Carolyn Fischer & Edwin Muchapondwa & Thomas Sterner, 2011. "A Bio-Economic Model of Community Incentives for Wildlife Management Under CAMPFIRE," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 48(2), pages 303-319, February.
    18. Amitrajeet Batabyal & Hamid Beladi, 2000. "On the extinction of species in jointly determined stochastic systems," Applied Economics Letters, Taylor & Francis Journals, vol. 7(9), pages 609-612.
    19. Anders Skonhoft, 1999. "On the Optimal Exploitation of Terrestrial Animal Species," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 13(1), pages 45-57, January.
    20. Fenichel, Eli P. & Horan, Richard D. & Bence, James R., 2010. "Indirect management of invasive species through bio-controls: A bioeconomic model of salmon and alewife in Lake Michigan," Resource and Energy Economics, Elsevier, vol. 32(4), pages 500-518, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:enreec:v:85:y:2023:i:2:d:10.1007_s10640-023-00772-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.