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Spatial-Dynamic Externalities and Coordination in Invasive Species Control

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  • Liu, Yanxu
  • Sims, Charles

Abstract

This study investigates a spatial externality common in invasive species control decisions made by multiple, spatially-connected decision makers (i.e., individual landowners, state and federal agencies, etc.). The externality arises due to the different spatial considerations of decision-makers which drives a wedge between individual and social damages, and results in a suboptimal level of individual control. The number of decision makers, the size of individual parcels, and the spatial configuration of small and large parcels influence the severity of the externality and consequently the insufficiency of privately supplied invasive species control. To internalize the externality, this paper provides a corrective mechanism in which individuals compensate invaded individuals for control actions that preserve uninvaded areas. These results shed light on the coordination problem in transboundary invasive species issues.

Suggested Citation

  • Liu, Yanxu & Sims, Charles, 2013. "Spatial-Dynamic Externalities and Coordination in Invasive Species Control," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 151293, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea13:151293
    DOI: 10.22004/ag.econ.151293
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    Cited by:

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    2. Grogan, Kelly A. & Chakravarty, Shourish, 2017. "The Feasibility of Area-wide Pest Management under Heterogeneity and Uncertainty: The Case of Citrus Health Management Areas," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 259188, Agricultural and Applied Economics Association.
    3. Sean F. Ellis & Mark Masters & Kent D. Messer & Collin Weigel & Paul J. Ferraro, 2021. "The Problem of Feral Hogs and the Challenges of Providing a Weak‐Link Public Good," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 985-1002, September.
    4. Pardini, Chelsea A. & Espinola-Arredondo, Ana, 2020. "Facing Fungicide Resistance in Grape Production: A Game Theoretic Approach," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304309, Agricultural and Applied Economics Association.
    5. Carson Reeling & Richard D. Horan, 2018. "Economic Incentives for Managing Filterable Biological Pollution Risks from Trade," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 70(3), pages 651-671, July.
    6. Kelly M. Cobourn & Gregory S. Amacher & Robert G. Haight, 2019. "Cooperative Management of Invasive Species: A Dynamic Nash Bargaining Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 72(4), pages 1041-1068, April.
    7. William Brock & Anastasios Xepapadeas, 2020. "Spatial Environmental and Resource Economics," DEOS Working Papers 2002, Athens University of Economics and Business.
    8. Siriwardena, Shyamani D. & Cobourn, Kelly M. & Amacher, Gregory S. & Haight, Robert G., 2018. "Cooperative bargaining to manage invasive species in jurisdictions with public and private lands," Journal of Forest Economics, Elsevier, vol. 32(C), pages 72-83.
    9. Gabriel S. Sampson & James N. Sanchirico, 2019. "Exploitation of a Mobile Resource with Costly Cooperation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 73(4), pages 1135-1163, August.

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    More about this item

    Keywords

    Agricultural and Food Policy; Environmental Economics and Policy;

    JEL classification:

    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation

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