An empirical model of optimal import phytosanitary inspection
AbstractThis paper presents an empirical model of optimal budget allocation for import inspection of imported commodities. In this model, the budget constrained inspecting Agency wants to minimize the expected pest costs related to import trade pathways. The model is applied to the problem of budget allocation for inspection of chrysanthemum cuttings imported to the Netherlands. The numerical results imply that under a budget constraint, resources should be first allocated for inspection of pathways with the greatest expected pest costs. Pathways with lower expected pest costs should receive less or no resources. The inspecting Agency has to trade off risks between inspected and non-inspected pathways.
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Bibliographic InfoPaper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2006 Annual meeting, July 23-26, Long Beach, CA with number 21253.
Date of creation: 2006
Date of revision:
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- 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).
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"On Container Versus Time Based Inspection Policies in Invasive Species Management,"
2005 Annual meeting, July 24-27, Providence, RI
19356, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
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- Olson, Lars J. & Roy, Santanu, 2005. "On Prevention and Control of an Uncertain Biological Invasion," Working Papers 28595, University of Maryland, Department of Agricultural and Resource Economics.
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