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Takings, Compensation and Endangered Species Protection on Private Lands

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  • Robert Innes
  • Stephen Polasky
  • John Tschirhart

Abstract

Preserving endangered species on private land benefits the public, but may confer cost on landowners if property is 'taken.' Government compensation to landowners can offset costs, although the Endangered Species Act does not require compensation. The authors survey private economic incentives for species preservation created by alternative property rights and compensation regimes. Compensation will effect investments in land and the willingness of landowners to collect and impart information about their land's preservation value. The authors also address government incentives and how deadweight costs of compensation will influence design of property rights, and how government's susceptibility to interest group pressure may cause inefficient preservation.

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File URL: http://www.aeaweb.org/articles.php?doi=10.1257/jep.12.3.35
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Bibliographic Info

Article provided by American Economic Association in its journal Journal of Economic Perspectives.

Volume (Year): 12 (1998)
Issue (Month): 3 (Summer)
Pages: 35-52

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Handle: RePEc:aea:jecper:v:12:y:1998:i:3:p:35-52

Note: DOI: 10.1257/jep.12.3.35
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  1. Farber, Daniel A., 1992. "Economic analysis and just compensation," International Review of Law and Economics, Elsevier, vol. 12(2), pages 125-138, June.
  2. Crone, Lisa & Tschirhart, John, 1998. "Separating economic from political influences on government decisions," Journal of Economic Behavior & Organization, Elsevier, vol. 35(4), pages 405-425, May.
  3. Blume, Lawrence & Rubinfeld, Daniel L & Shapiro, Perry, 1984. "The Taking of Land: When Should Compensation Be Paid?," The Quarterly Journal of Economics, MIT Press, vol. 99(1), pages 71-92, February.
  4. Fischel, William A. & Shapiro, Perry, 1989. "A constitutional choice model of compensation for takings," International Review of Law and Economics, Elsevier, vol. 9(2), pages 115-128, December.
  5. Innes, Robert, 1997. "Takings, Compensation, and Equal Treatment for Owners of Developed and Undeveloped Property," Journal of Law and Economics, University of Chicago Press, vol. 40(2), pages 403-32, October.
  6. Becker, Gary S, 1983. "A Theory of Competition among Pressure Groups for Political Influence," The Quarterly Journal of Economics, MIT Press, vol. 98(3), pages 371-400, August.
  7. Fullerton, Don, 1991. "Reconciling Recent Estimates of the Marginal Welfare Cost of Taxation," American Economic Review, American Economic Association, vol. 81(1), pages 302-08, March.
  8. Hermalin, Benjamin E, 1995. "An Economic Analysis of Takings," Journal of Law, Economics and Organization, Oxford University Press, vol. 11(1), pages 64-86, April.
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