Wednesday, February 17, 2016

Bee-mageddon averted? U.S. honeybee colonies hit a 20-year high

Bee colonies are no longer on the decline, and according to the Washington Post's Wonkblog, that's (un)surprisingly thanks to free markets:

Beekeepers have been doing this sort of thing since the advent of commercial beekeeping. When CCD came along, it roughly doubled the usual annual rate of bee die-offs. But this doesn't mean that bees are going extinct, just that beekeepers need to work a little harder to keep production up.

The price of some of that extra work will get passed on to the consumer. The average retail price of honey has roughly doubled since 2006, for instance. And Kim Kaplan, a researcher with the USDA, points out that pollination fees -- the amount beekeepers charge to cart their bees around to farms and pollinate fruit and nut trees -- has approximately doubled over the same period.

"It's not the honey bees that are in danger of going extinct," Kaplan wrote in an email, "it is the beekeepers providing pollination services because of the growing economic and management pressures. The alternative is that pollination contracts per colony have to continue to climb to make it economically sustainable for beekeepers to stay in business and provide pollination to the country’s fruit, vegetable, nut and berry crops." We have also been importing more honey from overseas lately.

But rising prices for fruit and nuts hardly constitute the "beepocalypse" that we've all been worried about. Tucker and Thurman, the economists, call this a victory for the free market: "Not only was there not a failure of bee-related markets," they conclude in their paper, "but they adapted quickly and effectively to the changes induced by the appearance of Colony Collapse Disorder."

Free markets have also resulted in more and better services to make innovation easier. One of the top funded indiegogo campaigns ever? "Flow Hive: Honey on Tap Directly From Your Beehive"

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