Economic Impact of Invasive Species

The Untold Cost of Invasive Species Jessicarose Thurber Environmental Economics EVSP201 Professor Ray Bartholomew March 30, 2013 Imagine going on a day hike through your favorite forest. You take great pains to pack your gear, ensure you have adequate food and water for the day. You bring your camera and other gear to ensure you get photographs of the local forest. You visit this same place every few weeks, it is close to where you live and the scenery is amazing. There are ample opportunities to stop to enjoy just being outside.

As you hike you enjoy the sound of nature, the rustling of the leaves as the wind blows, the sound of small lizards as they scurry across your path, agitating dry leaves in their wake. You listen for the sound of your favorite birds, and you are met in return with silence. This is exactly what a walk through the jungle is like for the residence and visitors of Guam. A U. S. territory, Guam is situated in the Pacific, along the ring of fire, and is a lush 212 square mile island filled with mountainous jungle, coconut trees and streams.

Jungles are known for their abundance of species, insects, lizards, birds and others. This jungle, however, is nearly devoid of such species and eerily silent as a result. This remote territory was invaded by an alien species carried to her shores sometime during or after WWII (Shwiff). The invader, called the Brown Tree Snake, brought to Guam from other parts of Asia aboard vessels, devastated the islands bird and small mammal population, leaving Guam open for further invasions from non-indigenous species.

Guam has become an ecological disaster; over run with the snake, an invasive species, officials have scrambled to save the native birds, to little avail. When it was recognized there was a problem, it was nearly too late, almost all of the birds had disappeared from this once tropical paradise (U. S. Fish). Now seventy years after the initial invasion, there are avenues of redress available, however the extinction of ten species of avifauna is as a result of the brown tree snakes invasion (U. S. Fish).

Guam, though isolated, is not alone. The remote island, located in the Mariana Islands chain, serves as an example of what damage invasive species can have on an ecosystem and an economy, some action is being implemented in an attempt to mitigate the impact of these invaders, however, no matter what the answer is the cost to the economy, locally and nationally is steep. Even more costly is the devastation these invaders cause on the local species, which depend on the area for resources such as food, water, and breeding areas.

Invasive species are the second largest cause of species decline and cost the United States billions of dollars annually in lost resources, expenditures to eradicate the invader, lost productivity and more. Additional cost of the loss of wildlife due to displacement of native species is staggering and can scarcely be accurately evaluated for cost. Through prevention measures and education the United States as a nation can help mitigate the spread and impact of these invaders. In the 1990’s America began taking a hard look at the issue of invasive species and their toll on American ecosystems, species and our economy.

In 1996 the National Invasive Species Act paved the way for later regulations by “development and implementation of a program for the waters of the United States to prevent introduction and dispersal of aquatic nuisance species (Bergman). ” Later in the decade President Clinton went further to include invasive species no matter their environment, whether terrestrial or aquatic in response to their devastating effects on the sensitive ecological and economic resources of the United States. Cornell researchers estimate over $123 billion dollars in damages nationwide annually due to invasive species.

This is a very conservative estimate, because no real price can be placed on ecological diversity or the species ultimately impacted by non-native species invasions (Hall). This came in the form of Executive Order 13112 sign on February 3rd, 1999. The purpose was to create a program and coordinate assets of the federal government and state agencies to “control and minimize the economic, ecological, and human health impacts caused by invasive species (Bergman). ” In addition to organizing and establishing federal policy in regards to invaders it defines what an invasive species is.

Executive Order 13112 defines an invasive species as an “alien species whose introduction does or is likely to cause economic or environmental harm or harm to human health. Invasive species typically harm native species through predation, habitat degradation and competition for shared resources (Cost of Invasive Species, US Fish & Wildlife). ” By defining invasive species the order took strides to narrow the scope of non-indigenous species to those who are actively and aggressively pushing our native species out through monopolization of resources and other tactics.

This definition takes pains to, therefore, exclude non-indigenous species to the United States who are not evicting indigenous species out of their native environment rather they are an almost welcome addition to our ecosystems. North American populations of the ring-neck pheasant, Phasianus colchicus, is a very good examples of this. They were introduced to the North American continent from Asia through settlers however, these species failed to become aggressive competitors to native species.

Their populations remained controlled through natural predation and they found resistance for resources from the already established populations of indigenous species. Furthermore, they did not degrade their new environment and in doing so the environment remained habitable to other species (National Geographic). Due to these factors, under the newly defined definition of invasive species, this species did not meet the requirement for the term “invasive species. ” This is a major distinguishing factor for the order.

In addition to laying out what is required to be labeled an invasive species, the new law gave further lead to coordinate among federal agencies, to more efficiently and aggressively pursue the exclusion of invaders from entering the country. This active prevention program and its counter parts are factors to the cost of invasive species. The Department of the Interior is a major player in the battle against invasive species with its primary departments for the purposes of invasive species prevention the U. S. Fish & Wildlife Service and U. S. Geological Survey, both of which contribute to the programs.

Other significant federal agencies are the United States Department of Agriculture with departments under its authority such as the U. S. Forest Service and Natural Resources Conservation Services. Each of these departments plays a significant role in combating invasive species. United States Department of Agriculture is responsible for the control and inspection of goods arriving on U. S. shores to ensure they meet criteria established for the preservation of our natural species, a job the USDA has been doing since the later part of the 19th century (Bergman)

The extent of invasive species and their number in the United States is a topic up for debate and estimates vary greatly between researchers. The U. S. Geological Survey estimates there to be over 6,500 different invasive species present and established in the United States. This however, seems to be a very conservative estimate. Cornell University researchers estimate there to be 50,000 alien invasive species in the United States (Pimental). This gross difference can be in part due to the definition of invasive species and what is being counted.

Regardless of numbers of species, what will be considered for the purposes discussed here is by definition of Executive Order 13112. Invasive species involve all levels and niches of ecosystems and enter our ecosystems for a number of reasons. Research does show, that there is a trend when it comes to invasive species and their introduction methods. “Most plant and vertebrate animal introductions have been intentional, whereas most invertebrate animal and microbe introductions have been accidental (Pimentel). Though this is certainly a trend it is certainly not an all-inclusive rule and this should be address when considering invasive species and introduction methods. Species such as the chestnut blight, a microorganism, zebra mussels, and the brown tree snake were introduced unintentionally to the United States territory of Guam (Shwiff). The first two certainly follow the generalized introduction method as discussed in Pimental’s research paper, published by Cornell, however, the brown tree snake, a vertebrate, was introduced accidentally.

The Chestnut Blight, cryphonectria parasitica, is an introduced fungal pathogen from Japan, originally recognized in New York in 1904 after a shipment of Japanese chestnuts were imported to the zoological park. At the time of its introduction the American Chestnut made up 25% of the forest regions in the eastern United States and “American chestnut, C. dentata, was a dominant over-story species in hardwood forests of the eastern United States of America prior to the introduction of blight (Davelos). ” See figure 1 of American chestnut distribution prior to infestation.

Figure 1 The fungus kills the American chestnut tree by girdling its trunk and cutting off nutrient supplies to the crown. The blight was able to move at a staggering 50 miles per year and by the 1950’s 50 million acres of chestnut forest were destroyed as a result. Native areas suffered huge declines in wildlife populations and lost industry to the local economy (Kummer). The wide devastation this organism caused upon accidental introduction into the United States is a teaching point for what can be expected as a result of poor regulation and lack of knowledge. Approximately 9%, or $7 billion, of forest products are lost each year due to plant pathogens (Pimental). ” Other species have similar effects on local ecosystems after introduction. According to the U. S. Fish & Wildlife Service ‘s fact sheet on the Cost of Invasive Species, “Invasive species are a leading cause of population decline and extinction in animals. ” Modern invasions account for more than 400 of the species decline of the over 1,300 species listed under the Endangered Species Act and another 180 considered at risk are as a direct result of displacement.

According to Cornell University 42% of species on the endangered and threatened species lists are at a decline primarily due to alien-invasive species (Pimentel). Not all invaders are introduced accidentally species are introduced for a wide variety of reasons. Serving as a possible solution to existing problems, such as erosion as in the case of kudzu, is a modern reason for introductions. Kudzu a plant introduced from Japan in 1876 as an “ornamental vine,’ and later used to mitigate agriculture erosion in the 1940’s. “Farmers were paid $8. 0 per acre by the Soil Erosion Service to plant kudzu, and more than 1. 2 million acres were planted under this subsidized program” predominantly in the South. In the late 20th century kudzu was officially listed by U. S. Congress as a Federal Noxious Weed and continues to grow across the South, taking over fields and plantations, eradicating all other vegetation on the property. Estimates range from two to seven million acres of land destroyed by complete kudzu coverage, each acre costing over $200 per acre for a five-year period to control the weed.

Kudzu is extremely resistant to herbicides, over $1. 5 million dollars annually, over prolonged periods of time due to its biological structure and makeup. In addition to cost related to direct control from government agencies, power companies spend $1. 5 million to combat the spread of the plant (Kudzu). Once an understanding of what an invasive species is and its history, only nominally covered here, a reasonable expectation of monetary impact on the American economy can then be understood.

Nationally direct expenditures account for a huge portion of the annual budget for prevention, mitigation, and restoration of destroyed habitats and species. Though prevention is certainly always the most economically efficient route, Benjamin Franklin was famously quoted saying “an ounce of prevention is worth a pound of cure,” economic costs for prevention in 2011 the Department of the Interior spent upwards of $100 million dollars on invasive species prevention (Cost). According to the U. S.

Fish & Wildlife these funds will be spent predominantly on “early detection and rapid response, control and management, research, outreach, international cooperation and habitat restoration. ” The U. S. Fish & Wildlife Service reports an annual expenditure of $720,000 dollars from its Florida division alone for the Everglades. These expenditures come directly from the U. S. Fish & Wildlife Service and its partners every year since 2005 and are a mounting effort to the mitigation and prevention of further population explosion.

Economic impact, however, cannot only be measured in direct expenditures; lost productivity, damages, and environmental degradation all are factors in economic considerations. Rats introduced to the North American continent have cost $19 billion dollars in losses to the United States agriculture industry annually. Additionally invasive insects are responsible for $13 billion in crop damage and the expenditure of $1. 2 billion annually in pesticides that have peripheral effects on the environment and unintended consequences on water supplies and other non-target species (Pimental).

Aside from direct crop damages and losses from invasive species, the United States faces more damages from species considered domesticated. Feral cats, dogs, and pigs cost billions annually in loss of species diversity and damages to agriculture. “30 million feral cats…prey on native birds, plus small native mammals, amphibians, and reptiles. Estimates are that feral cats in Wisconsin and Virginia kill more than 3 million birds in each state per year. Assuming 8 birds killed per feral cat/year, then 240 million birds are killed per year in the nation.

Each adult bird is valued at $30. This cost per bird is based on the literature that reports that a bird watcher spends $0. 40 per bird observed, a hunter spends $216 per bird shot, and specialists spend $800 per bird reared for release…Therefore, the total damage to U. S. bird population is approximately $17 billion/year. This cost does not include the number of birds killed by pet or urban cats, a figure reported to be similar to the number killed by feral cats (Pimental). ” Reports from Cornell University on feral pigs are just as startling.

According to the study the 4 million feral pigs in the United States cause over $800 million annually, this report is reportedly conservative due to the amount of damage a single pig can do to agriculture and the devastation to local native species (Pimental). In a study funded by the Nature Conservancy partnered with the U. S. Forest Service research has shown “the emerald ash borer and the Asian longhorned beetle are costing an estimated $1. 7 billion in local government expenditures and approximately $830 million in lost residential property values every year (USDA/Economic). This research is showing millions of dollars in losses every year for just two insects that have invaded forests across the United States. The mission statement of the U. S. Forest Service is “sustain the health, diversity, and productivity of the nation’s forests and grasslands to meet the needs of present and future generations. The agency manages 193 million acres of public land, provides assistance to state and private landowners, and maintains the largest forestry research organization in the world (USDA/Economic). ” The U. S.

Forest Service, tasked with the health and well being of our nations forests as a resource and to ensure it is utilized in a socially economical and feasible manner making it a priority to sustain and preserve these resources for the future. The millions of dollars of damage and property value degradation caused by invasive species making research in areas of prevention and mitigation critical. Damages to the American economy are also not restrained to just terrestrial species; aquatic plants and animals are as devastating as their land based counter parts.

Zebra Mussels (Dreissena polymorpha), as seen in Figure 2, colonize any given surface, whether living or non and completely chokes off nutrients and water flow from whatever it is colonizing on (USGS). Figure 2 Zebra Mussels have been found in densities as high as 1 million individuals per square yard. This increasingly dense clustering is one of the tactics used by the mussel to deprive indigenous species of resources. Additionally, zebra mussels clog pipelines like water intake pipes, which an infestation in 1989 caused the city on Monroe Michigan to be without water for three days (USGS).

The invasive mussel was introduced to the Great Lakes, from Russia, in the ballasting of ships and was first discovered in Lake Sinclair, and spread throughout much of the North East United States. Control cost and prevention to keep zebra mussels from water intake, filtration, and power generation is estimated by Cornell University at $1 billion dollars a year. United States Geological Survey estimates $5 billion dollars of negative economic impact on the Great Lakes region alone due to this mussel. It has single handedly has caused the “near extinction of native American unionid clams in Lake St.

Clair and in the western basin of Lake Erie (USGS). ” Zebra mussels have become nearly impossible to control and even more difficult to rid lakes of. U. S. Geological Survey reports in their fact sheet on zebra mussels, “once zebra mussels become established in a water body, they are impossible to eradicate with the technology available today. Many chemicals kill zebra mussels, but these exotics are so tolerant and tough that everything in the water would have to be poisoned to destroy the mussel (USGS). ” Other aquatic species that are invasive to the United States are numerous types of aquatic plants and fish.

As of the late 1990’s there were 138 established species of alien fish in the United states, which conservative estimates to damages felt by the U. S. sport fishing industry is upwards of $5. 4 billion annually. Fear of the spread of invasive Asian Carp has cost the Great Lakes region millions. In 2004, the Environmental Protection Agency and local government agencies built a $9. 1 million dollar electric barrier system to prevent the spread of the fish to un-infested areas of the Great Lakes. This same barrier has caused another $3 million dollars in fish kills and in 2010 a carp was caught six miles from Lake Michigan (Watson).

In 2006, Great Lakes United estimates that the Great Lakes region looses $200 million annually due invasive species however, Notre Dame has released new research estimating upwards of $800 million dollars in annual losses for the region (Gilroy). Indirect losses and expenditures also exist with these aquatic invaders, in Vermont property owners loose $12,000 each, annually due to the spread of an invasive aquatic plants (State of Maine). Additionally, tax-paying residents of Massachusetts spend $385,000 annually on its 298 infected lakes to control and mitigate invasive aquatic plant species.

The State of Maine estimates an $11 million dollar reduction of property value and an average of 3 million in annual control costs should aquatic invaders become as dense in their five most southern counties as it is currently in Vermont (State of Maine). “In Minnesota, the state legislature is considering a law that would require the state’s boaters – all 800,000 of them – to take and pass a course on how to prevent spread of invasive species before they can legally trailer their boat on any public road (Tompkins). Economic damages associated with invasive species are not limited to damages and expenditures that can be quantified in a monetary manner. Monetary value can scarcely be pinned to what an entire species or ecosystem might be worth to society. The decline of species variety and quantity due to invasive species incursion in the United States is staggering to imagine. Sensitive ecosystems like the Everglades are threatened on an ever-increasing scale. Python populations have been estimated as high as 100,000 breeding capable individuals and consume rare and sensitive species such as the Key Largo wood rat (Nature Conservancy).

Over a decade has passed since the infestation of the Florida Everglades started when exotic pets were released or escaped, and in the mild climate of Florida, makes a perfect environment for the reptile. The issue was first addressed during a study of the Key Largo wood rat, when researchers noticed a male with a radio collar had moved over a mile from its original documented habitat (Nature Conservancy). The woodrat’s signal was tracked and lead a team to a snake with more than just the single wood rat in its digestive tract, there was multiple in the snakes stomach.

Other endangered species, such as the wood stork and the Florida alligator have been found as prey to this “indiscriminant eater” as well, see figure 3 (USGS). Figure 3 Additionally, “In January 2012, a severe decline in a variety of mammal populations in the Everglades over the last eight years was documented in a report released by the Proceedings of the National Academy of Sciences called Severe Mammal Declines Coincide with Proliferation of Invasive Burmese Pythons in Everglades National Park. Researchers correlated pythons ith the dramatic declines in mammal numbers and noted other potential causes, like disease, are unlikely since so many species showed decline (Nature Conservancy). According tot the USGS “from 1999 to 2009, Federal and State agencies spent $1. 4 million on Key Largo wood rat recovery and $101. 2 million on wood stork recovery. “ In January 2012 the United States adopted a ban on the Burmese python and three other large constrictors as a response to the over whelming evidence from the Florida Everglades (Nature Conservancy).

As shown but numerous studies and data collected from all over the United States, invasive species prevention and control is a critical part to preserving American ecosystems. The accumulated costs of invasive species into the United States is staggering economically. On the national level alone the billions of dollars spent annually to prevent and combat alien species is a minute percentage of what it would cost to keep our boarders completely free from new invaders.

Money spent on controlling boarders in addition to the production and crop loss to America’s agriculture industry directly correlates to the price we pay each day for the food we put on our tables and the other goods and services. Additionally, the cost to local economies for prevention costs not only the local tax-payers but local industry through peripheral effects to surrounding areas as seen with property value declines across the country. Agriculture industry, already feeling the strain of an ever-growing population and imported food sources, must also face the billions of dollars lost annually to invasive species.

American homeowners loose millions annually in property devaluation and lost sales potential in areas affected by species displacement. Tragically the greatest cost to America, nationally and locally, is the cost to our delicate ecosystems. The devastation invasive species cause when they push out indigenous inhabitants is heartbreaking. As our indigenous species face further pressure for resources from people an invasive species, America can expect to see drastic declines in our species variation and habitat range.

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