An Optimal Surveillance Measure Against Foot and Mouth Disease in the United States
Surveillance programs on farms and in the local environment provide an essential protection against the importation and spread of exotic diseases. Combined with border quarantine measures, these programs protect both consumers and producers from major health concerns and disease incursions that can potentially destroy local agricultural production and supporting industries, as well as generate substantial losses in trade and tourism. However, surveillance programs also impose costs in the form of expenditures on the surveillance program itself, along with the costs of disease management and eradication should an incursion occur. Taking border quarantine expenditures as given, this paper develops a stochastic optimal control model (with a jumpdiffusion process) to determine the optimal level of surveillance activity against a disease incursion by minimizing the present value of the major direct and indirect costs of the disease, as well as the cost of the surveillance and disease management and eradication programs. The model is applied to the case of a potential entry and spread of Foot and Mouth Disease in the United States. Results show that current surveillance expenditures are far less than optimal.
|Date of creation:||Nov 2006|
|Contact details of provider:|| Postal: JG Crawford Building #13, Asia Pacific School of Economics and Government, Australian National University, ACT 0200|
Web page: http://www.eaber.org
More information through EDIRC
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.:
- Bicknell, Kathryn & Wilen, James E. & Howitt, Richard E., 1999. "Public policy and private incentives for livestock disease control," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 43(4), pages -, December.
- Anderson, Kym & James, Sarah, 1998.
"On the Need for More Economic Assessment of Quarantine/SPS Policies,"
CEPR Discussion Papers
1934, C.E.P.R. Discussion Papers.
- James, Sallie & Anderson, Kym, 1998. "On the need for more economic assessment of quarantine/SPS policies," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 42(4), pages -, December.
- Junwook Chi & Alfons Weersink & John A. VanLeeuwen & Gregory P. Keefe, 2002.
"The Economics of Controlling Infectious Diseases on Dairy Farms,"
Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie,
Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 50(3), pages 237-256, November.
- Chi, Junwook & Weersink, Alfons & Vanleeuwen, John A. & Keefe, Gregory P., 2001. "The Economics Of Controlling Infectious Diseases On Dairy Farms," Working Papers 34119, University of Guelph, Department of Food, Agricultural and Resource Economics.
- Zhao, Zishun & Wahl, Thomas I. & Marsh, Thomas L., 2006.
"Invasive Species Management: Foot-and-Mouth Disease in the U.S. Beef Industry,"
Agricultural and Resource Economics Review,
Northeastern Agricultural and Resource Economics Association, vol. 35(1), April.
- Zhao, Zishun & Wahl, Thomas I. & Marsh, Thomas L., 2006. "Invasive Species Management: Foot-and-Mouth Disease in the U.S. Beef Industry," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25490, International Association of Agricultural Economists.
- John Mclnerney, 1996. "Old Economics For New Problems -Livestock Disease: Presidential Address," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1-4), pages 295-314.
- Saphores, Jean-Daniel M. & Shogren, Jason F., 2005. "Managing exotic pests under uncertainty: optimal control actions and bioeconomic investigations," Ecological Economics, Elsevier, vol. 52(3), pages 327-339, February.
- J. D. Mumford, 2002. "Economic issues related to quarantine in international trade," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 29(3), pages 329-348, July.
When requesting a correction, please mention this item's handle: RePEc:eab:develo:21813. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Shiro Armstrong)
If references are entirely missing, you can add them using this form.