Economics of Invasive Species

Abstract

While the subset of introduced species that become invasive is small, the damages caused by that subset and the costs of controlling them can be substantial. This chapter takes an in-depth look at the economic damages non-native species cause, methods economists often use to measure those damages, and tools used to assess invasive species policies. Ecological damages are covered in other chapters of this book. To put the problem in perspective, Federal agencies reported spending more than half a billion dollars per year in 1999 and 2000 for activities related to invasive species ($513.9 million in 1999 and $631.5 million in 2000 (U.S. GAO 2000)). Approximately half of these expenses were spent on prevention. Several states also spend considerable resources on managing non-native species; for example, Florida spent $127.6 million on invasive species activities in 2000 (U.S. GAO 2000), and the Great Lakes states spend about $20 million each year to control sea lamprey (Petromyzon marinus) (Kinnunen 2015). Costs to government may not be the same as actual damages, which generally fall disproportionately on a few economic sectors and households. For example, the impact of the 2002 outbreak of West Nile virus exceeded $4 million in damages to the equine industries in Colorado and Nebraska alone (USDA APHIS 2003) and more than $20 million in public health damages in Louisiana (Zohrabian et al. 2004). Zebra mussels (Dreissena polymorpha) cause $300–$500 million annually in damages to power plants, water systems, and industrial water intakes in the Great Lakes region (Great Lakes Commission 2012) and are expected to cause $64 million annually in damages should they or quagga mussels (Dreissena bugensis) spread to the Columbia River basin (Warziniack et al. 2011).

Modelling the risks of invasive aquatic species spread in Swedish lakes

“…As well as threatening the diversity and abundance of native species and the ecological stability of invaded aquatic environments, D. polymorpha threatens water-dependent commercial, agricultural, aquacultural, and recreational activities. It is known for its biofouling abilities (accumulation of adult bivalves on hard surfaces) through colonisation of power plants, water systems, and industrial water intakes in the Great Lakes region, costing million annually in damages (Warziniack et al, 2021). Recreation-based industries and activities have also been impacted by D. polymorpha.…”

Tribal Perspectives on Preventing the Introduction of Zebra Mussels into Flathead Lake, Montana

“…NMV studies that estimate impacts from AIS include Eurasian milfoil and harmful algal blooms (Olden & Tamayo 2014;Horsch & Lewis 2009;Nunes & van den Bergh 2004). To date there has not been a comprehensive evaluation of the impacts from AIS including the estimation of changes in welfare from the impacts of dreissenid mussels on ecosystem goods and services (Warziniack et al 2021).…”

The nature of economic costs of biological invasions

“…This literature also includes methodological reviews and syntheses (e.g. Lovell et al 2006;Olson 2006;Frésard 2011;Marbuah et al 2014;Jackson 2015;Epanchin-Niell 2017;Warziniack et al 2021). Although there are multiple frameworks for categorizing IAS impacts on the state and dynamics of ecosystems (e.g.…”