A socioeconomic analysis of biocontrol in integrated pest management: A review of the effects of uncertainty, irreversibility and flexibility

Publication date: Available online 26 March 2016 Source:NJAS - Wageningen Journal of Life Sciences Author(s): Emmanuel. O. Benjamin, Justus. H.H. Wesseler European regulations on the sustainable use of pesticides aim to promote integrated pest management (IPM) strategy and the use of biological control agents. However, uncertainty over benefits and costs, irreversibility effects as well as flexibility in adoption of this technology needs to be considered. Economic evaluation of IPM using simple cost-benefit analysis may be inadequate. Therefore, the need to develop evaluation tools that takes the aforementioned constraints into consideration is imperative. To this end, we introduce the maximum incremental social tolerable irreversible costs (MISTICs) as a tool for such evaluation. Only when the incremental reversible benefits of the IPM strategy outweigh possible irreversible costs of such a strategy by a minimum threshold (hurdle rate) should introduction of biocontrol be considered. Our approach allows assessment of an IPM strategy from a private (farmers) point of view to be extended to a social context. We aim to evaluate the MISTICs value of biocontrol adoption for Western Corn Rootworm in maize cultivation and wireworms in potato cultivation for selected European Union member states (Germany, France, Austria, Spain and Italy) based on the option and net present value using the McDonalds-Siegel Stimulation. We also evaluate the potential irreversible costs associ...

Source: NJAS Wageningen Journal of Life Sciences - March 26, 2016 Category: Biology Source Type: research