The Economics of Terrestrial Invasive Species: A Review of the Literature

Abstract

This paper reviews the literature on the economics of invasive species management as it applies to invasive species in general and terrestrial invasive species in particular. The paper summarizes a number of recent studies that assign values to the economic impact of terrestrial invasive species on a national scale. This is followed by a review of the economic literature on control and prevention of a biological invasion and the literature on international trade and trade policy with invasive species. The paper then reviews selected studies on terrestrial invasive plants, animals, and microbes, respectively.Key Words: terrestrial invasive species, prevention, control, international trade, bioeconomic modeling Throughout history the spread of plants, animals, and other organisms has been governed by natural ecological processes and has accompanied trade in goods and services and the movement of humans. As a consequence, species are continually introduced to areas outside their native geographic location and some of these species establish themselves as harmful invaders. Invasive species are one of the leading causes of global ecological change. Of 256 vertebrate extinctions with an identifiable cause, 109 are known to be due to biological invaders, while 70 are known to be caused by human exploitation (Cox 1993). In the United States, it is estimated that 40 percent of the threatened or endangered species are at risk due to pressures from invasive species (Nature Conservancy 1996, Wilcove et al. 1998. Invasive species also impose significant economic losses to consumer and producer welfare.The problems associated with invasive species are not new and have long been recognized. U.S. invasive species policy dates to the Lacey Act of 1900. In recent years, however, increased globalization has led scientists and policymakers to focus more attention on the potential costs associated with invasive species introductions. Of the nearly 30 federal U.S. acts pertaining to invasive species, approximately half have been adopted since 1990 (National Agricultural Library 2006). 1As recognition of invasive species problems has grown, so has the economics literature. The purpose of this paper is to review the methodological literature on the economics of invasive species management as it applies to invasive species in general and terrestrial invasive species in particular. The paper is organized as follows. It begins with a summary of a number of recent studies that assign values to the economic impact of terrestrial invasive species on a national scale. This is followed by a review of the economics literature on control and prevention of a biological invasion. The section after that surveys the literature on international trade and trade policy with invasive species. The paper then reviews selected studies on terrestrial invasive plants, animals, and microbes, respectively. The final section contains brief, concluding remarks.There are important aspects of the literature that are not reviewed here. The focus of this survey is ...

How to Achieve Effectiveness in Problem-Oriented Landscape Research: The Example of Research on Biotic Invasions

“…Estimates of the total costs stemming from biotic invasions are based on the current or projected future costs of all damages caused by alien species (Born et al, 2005;Olson, 2007;Pimentel et al, 2005). Sometimes the expenditure for controlling invasive species or other mitigation costs, e.g.…”

“…The monetary value of the ecological damages caused by alien species are usually calculated based on the concept of ecosystem services (Binimelis et al, 2007;Born et al, 2005;Charles and Dukes, 2007), i.e., the loss of ecosystem services through biotic invasions is derived from biological impact research (see above) (Charles and Dukes, 2007). Estimates of total costs stemming from biotic invasions for countries such as the U.S.A., Canada, Australia or Germany are typically of the order of more than US$ 1 billion per year (Olson, 2007;Pimentel et al, 2005). However, to date such economic assessments are mainly based on expert knowledge and extrapolations from only a few well-documented aspects such as the annual expenditures to control a species in a particular area.…”

“…Such bioeconomic modelling helps to identify the optimal control technique (Baker et al, 2005), and to define the conditions under which it is still economic to eradicate a species (Regan et al, 2006) or the optimal threshold population density of a species that is contained (Anderson et al, 2003). Bioeconomic models are often based on sophisticated biological models, that include, for instance, multitrophic biotic interactions (Gutierrez and Regev, 2005) or spatially explicit spread modelling (Olson, 2007). Similarly, the economic models may vary from simple economic to complex socioeconomic valuation of management strategies (see above).…”

“…Similarly, the economic models may vary from simple economic to complex socioeconomic valuation of management strategies (see above). A range of control techniques from mechanical, chemical or biological control to habitat management approaches may be considered (see below) (Olson, 2007), as well as different management contexts and scales from local natural area management to nationwide efforts (Born et al, 2005;Olson, 2007).…”

“…Hastings et al, 2006), or vice versa (e.g. Olson, 2007). Thereby one expert group may try to direct research in the other field of expertise according to its needs for specific expert inputs (compare e.g.…”