A Theoretical Analysis of Random Inspections and Fines in Invasive Species Management
Economics Bulletin, Vol. 17, No. 15, pp. 1-9, 2008
15 Pages Posted: 19 Sep 2008 Last revised: 20 Nov 2008
Date Written: September 15, 2008
In this paper, we conduct a theoretical analysis of inspections in a stochastic environment and we shed light on two hitherto unstudied issues concerning inspections in the context of invasive species management. First, given a particular port of entry in a country, we study the properties of a random inspection scheme. Second, we compute the average total fines that will be collected in the long run by an inspection agency that uses the above inspection scheme to screen arriving ships for the presence of one or more invasive species.
Keywords: Invasive Species, Fine, Random Inspection, Uncertainty
JEL Classification: Q580, C440
Suggested Citation: Suggested Citation