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Optimal Biosecurity Policywith Heterogeneous Farmers

Author

Listed:
  • Abdel Fawaz Osseni

    (SMART - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement)

  • Alexandre Gohin

    (SMART - Structures et Marché Agricoles, Ressources et Territoires - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro Rennes Angers - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement)

  • Arnaud Rault

    (BIOEPAR - Biologie, Epidémiologie et analyse de risque en Santé Animale - ONIRIS - École nationale vétérinaire, agroalimentaire et de l'alimentation Nantes-Atlantique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

Abstract

Infectious animal diseases raise serious challenges for both public health and the livestocksector. We develop an original principal-multiple agent model for preventing these diseases thatexplicitly considers the heterogeneity of risk-averse farmers in addition to production externalitiesandex anteinformational asymmetries. Our results confirm that failing to consider farmers'heterogeneity generates Pareto-inefficient solutions. When using individual-based instruments,the government should cope with heterogeneity by increasing guaranteed payments and reducingaverage payments. However, when population-based instruments are the only available policytools, increasing average payments is better for reducing moral hazard issues.

Suggested Citation

  • Abdel Fawaz Osseni & Alexandre Gohin & Arnaud Rault, 2022. "Optimal Biosecurity Policywith Heterogeneous Farmers," Post-Print hal-03965210, HAL.
    • Handle: RePEc:hal:journl:hal-03965210
    DOI: 10.22004/ag.econ.311029
    as

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