A Theoretical Note on the Optimal Dependability and Speed of Container Inspections in Invasive Species Management
Amitrajeet A. Batabyal
Rochester Institute of Technology
August 5, 2008
Studies in Regional Science, Vol. 38, No. 1, pp. 199-204, 2008
The extant literature tells us that a seaport inspector who places a large (small) weight on biological invasion damage control relative to economic cost reduction will, ceteris paribus, inspect ships with containers more (less) stringently. Therefore, in this theoretical note we analyze the decision problem faced by a seaport inspector who places equal weight on the above two objectives. Specifically, we first present a stylized model of biological invasions. Next, we derive an expression for the long run expected net cost (LRENC) of inspections. Finally, we show that the optimal dependability and speed of inspections is the solution to this LRENC minimization problem.
Keywords: Alien Species, Dependability, Inspections, Speed, Uncertainty
JEL Classification: Q58, L51
Date posted: August 6, 2008
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