Economic Effects of the Endangered Species Act
- The economic impact that the endangered species act has when protecting animals.Bear Cave image by Benjamin Huseman from Fotolia.com
The Endangered Species Act--or ESA--was originally implemented in 1973. With protecting plants and animals considered endangered as its main purpose, the act has positive effects upon animal species that face a potential threat to their existence. Although there are many beneficial aspects to the Endangered Species Act, there were some unforeseen economic downsides as well. - One such effect that directly resulted from the implementation of the Endangered Species Act was the direct loss of money. The Tellico Dam began construction upon the Tennessee River prior to 1973; however, when the ESA law was passed and the construction of the damn was ordered to be stopped by the Secretary of the Interior. The reason was due to a threatened species---known as the "snail darter" that existed within the location of the damn. The case ultimately reached to the Supreme Court who also concluded that construction should be stopped. The result was a $53 million loss in money. Later, in the 1980s, snail populations were moved and the damn was ultimately finished.
- Sometimes, the EDA act can affect industry as well. In 1990, the Northern Spotted Owl became listed as an endangered species. The result was over a million acres within the Pacific Northwest forest becoming protected by the act. The result affected the timber industry, slowing production as they had far less land to work with. Loss of jobs ensued and even home builders--as well as real estate industries--worried about the economic harm this would cause due to the lack of building in the area. Even George Bush Sr.--campaigning for president at the time--spoke out on the issue with quotes, such as "[i]t is time to make people more important than owls."
- Other economic consequences of the Environmental Species Act have even put humans or the property of humans in jeopardy. One famous case discusses an immigrant that maintained a farm near Bakersfield, Calif. The EDA made the Tipton Kangaroo Rat an endangered species, which resulted in prohibiting any type of farming in the area. The man continued to farm in this prohibited area and was ultimately arrested and jailed for five months, drawing much media attention.
As the land within the same area was also prohibited from clearing brush, firefighters were prevented from "plowing" a firebreak to prevent it from spreading. The result was that more than a dozen houses burned. Although the EDA law can only indirectly be considered a potential cause, it is one of the suspected reasons behind the severity of the fire.
Governmental Losses
Industries
Citizens
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