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On Container Versus Time Based Inspection Policies in Invasive Species Management

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Author Info
Batabyal, Amitrajeet A.
Nijkamp, Peter

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Abstract

We study the problem of precluding biological invasions caused by ships transporting internationally traded goods in containers between different regions of the world. Using the long run expected net cost (LRENC) of inspections as the apposite managerial objective, we address the following important question: Given that inspection is a cyclical activity, is the LRENC lower when a port manager’'s inspector inspects cargo upon the arrival of a specified number of containers (container policy) or is this LRENC lower when this inspector inspects cargo at fixed points in time (temporal policy)? We construct a queuing theoretic model and show that in an inspection cycle, irrespective of whether the inspection policy choice is made on the basis of an explicit optimization exercise or on the basis of rules of thumb, the container policy is superior to the temporal policy because the container policy results in lower LRENC from inspection activities.

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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number 19356.

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Date of creation: 2005
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Handle: RePEc:ags:aaea05:19356

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Keywords: Public Economics;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Barbier, Edward B., 2001. "A note on the economics of biological invasions," Ecological Economics, Elsevier, vol. 39(2), pages 197-202, November. [Downloadable!] (restricted)
  2. Beladi, Hamid & Batabyal, Amitrajeet A., 2004. "International Trade And Biological Invasions: A Queuing Theoretic Analysis Of The Prevention Problem," 2004 Annual meeting, August 1-4, Denver, CO 19912, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
    Other versions:
  3. Amit Batabyal & Hamid Beladi & Won Koo, 2005. "Maritime Trade, Biological Invasions, and the Properties of Alternate Inspection Regimes," ERSA conference papers ersa05p164, European Regional Science Association. [Downloadable!]
  4. Batabyal, Amitrajeet A. & Biswas, Basudeb & Godfrey, E. Bruce, 2001. "On The Choice Between The Stocking Rate And Time In Range Management," 2001 Annual meeting, August 5-8, Chicago, IL 20744, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
    Other versions:
  5. Roberts, Marc J. & Spence, Michael, 1976. "Effluent charges and licenses under uncertainty," Journal of Public Economics, Elsevier, vol. 5(3-4), pages 193-208. [Downloadable!] (restricted)
  6. Olson, Lars J & Roy, Santanu, 2002. " The Economics of Controlling a Stochastic Biological Invasion," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 84(5), pages 1311-16. [Downloadable!] (restricted)
  7. Eiswerth, Mark E & van Kooten, G Cornelis, 2002. " Uncertainty, Economics, and the Spread of an Invasive Plant Species," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 84(5), pages 1317-22. [Downloadable!] (restricted)
  8. Mark Eiswerth & Wayne Johnson, 2002. "Managing Nonindigenous Invasive Species: Insights from Dynamic Analysis," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 23(3), pages 319-342, November. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Amitrajeet Batabyal & Seung Jick Yoo, 2008. "A theoretical analysis of random inspections and fines in invasive species management," Economics Bulletin, Economics Bulletin, vol. 17(15), pages 1-9. [Downloadable!]
  2. Surkov, Ilya V. & Lansink, Alfons G.J.M. Oude & van Kooten, Olaf, 2006. "An empirical model of optimal import phytosanitary inspection," 2006 Annual meeting, July 23-26, Long Beach, CA 21253, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association). [Downloadable!]
  3. An-Sing Chen & Hui-Jyuan Gao & Mark Leung, . "Is Trading Imbalance a Better Explanatory Factor in the Volatility Process? Intraday and Daily Evidence from E-mini S&P 500 Index Futures and Information-Based Hypotheses," Working Papers 0039, College of Business, University of Texas at San Antonio. [Downloadable!]
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