IDEAS home Printed from https://ideas.repec.org/a/eee/jeeman/v62y2011i3p323-336.html
   My bibliography  Save this article

Exurban development

Author

Listed:
  • Newburn, David
  • Berck, Peter

Abstract

Exurbia, the rural area beyond the built-up urban and contiguous suburban area, is being developed rapidly with attendant losses in habitat and ecosystem services. This paper analyzes a spatial dynamic model with two production technologies for residential development—municipal sewer service for suburban development and septic systems for exurban development. In outlying agricultural areas, the additional sewer extension costs can significantly reduce the value of agricultural land in suburban use. Exurban development, while at lower density, can occur immediately and requires only the onsite conversion costs of septic systems. Hence, the willingness to pay for exurban use from households with higher preferences for lot size may exceed the agricultural landowner's reservation price on future suburban use for a range of distances from the city boundary. This results in a “feasible zone” for exurban leapfrog development and another fundamental reason for scattered development in the urban–rural fringe.

Suggested Citation

  • Newburn, David & Berck, Peter, 2011. "Exurban development," Journal of Environmental Economics and Management, Elsevier, vol. 62(3), pages 323-336.
    • Handle: RePEc:eee:jeeman:v:62:y:2011:i:3:p:323-336
    DOI: 10.1016/j.jeem.2011.05.006
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0095069611000945
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jeem.2011.05.006?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Caruso, Geoffrey & Peeters, Dominique & Cavailhes, Jean & Rounsevell, Mark, 2007. "Spatial configurations in a periurban city. A cellular automata-based microeconomic model," Regional Science and Urban Economics, Elsevier, vol. 37(5), pages 542-567, September.
    2. Braid, Ralph M., 1988. "Optimal spatial growth of employment and residences," Journal of Urban Economics, Elsevier, vol. 24(2), pages 227-240, September.
    3. Dennis Epple & Holger Sieg, 1999. "Estimating Equilibrium Models of Local Jurisdictions," Journal of Political Economy, University of Chicago Press, vol. 107(4), pages 645-681, August.
    4. Capozza, Dennis R. & Helsley, Robert W., 1990. "The stochastic city," Journal of Urban Economics, Elsevier, vol. 28(2), pages 187-203, September.
    5. Walsh, Randy, 2007. "Endogenous open space amenities in a locational equilibrium," Journal of Urban Economics, Elsevier, vol. 61(2), pages 319-344, March.
    6. Marcy Burchfield & Henry G. Overman & Diego Puga & Matthew A. Turner, 2006. "Causes of Sprawl: A Portrait from Space," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 587-633.
    7. Tajibaeva, Liaila & Haight, Robert G. & Polasky, Stephen, 2008. "A discrete-space urban model with environmental amenities," Resource and Energy Economics, Elsevier, vol. 30(2), pages 170-196, May.
    8. David A. Newburn & Peter Berck, 2006. "Modeling Suburban and Rural-Residential Development Beyond the Urban Fringe," Land Economics, University of Wisconsin Press, vol. 82(4), pages 481-499.
    9. Elena G. Irwin, 2002. "Interacting agents, spatial externalities and the evolution of residential land use patterns," Journal of Economic Geography, Oxford University Press, vol. 2(1), pages 31-54, January.
    10. James C. Ohls & David Pines, 1975. "Discontinuous Urban Development and Economic Efficiency," Land Economics, University of Wisconsin Press, vol. 51(3), pages 224-234.
    11. Turner, Matthew A., 2005. "Landscape preferences and patterns of residential development," Journal of Urban Economics, Elsevier, vol. 57(1), pages 19-54, January.
    12. Capozza, Dennis R. & Helsley, Robert W., 1989. "The fundamentals of land prices and urban growth," Journal of Urban Economics, Elsevier, vol. 26(3), pages 295-306, November.
    13. Wu, JunJie & Plantinga, Andrew J., 2003. "The influence of public open space on urban spatial structure," Journal of Environmental Economics and Management, Elsevier, vol. 46(2), pages 288-309, September.
    14. Wu, JunJie, 2006. "Environmental amenities, urban sprawl, and community characteristics," Journal of Environmental Economics and Management, Elsevier, vol. 52(2), pages 527-547, September.
    15. Elena G. Irwin, 2002. "The Effects of Open Space on Residential Property Values," Land Economics, University of Wisconsin Press, vol. 78(4), pages 465-480.
    16. Mills, David E., 1981. "Growth, speculation and sprawl in a monocentric city," Journal of Urban Economics, Elsevier, vol. 10(2), pages 201-226, September.
    17. Geoghegan, Jacqueline & Wainger, Lisa A. & Bockstael, Nancy E., 1997. "Spatial landscape indices in a hedonic framework: an ecological economics analysis using GIS," Ecological Economics, Elsevier, vol. 23(3), pages 251-264, December.
    18. David A. Newburn & Peter Berck, 2006. "Modeling Suburban and Rural-Residential Development Beyond the Urban Fringe," Land Economics, University of Wisconsin Press, vol. 82(4), pages 481-499.
    19. Capozza, Dennis R. & Li, Yuming, 2002. "Optimal Land Development Decisions," Journal of Urban Economics, Elsevier, vol. 51(1), pages 123-142, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Newburn, David A. & Berck, Peter, 2011. "Growth Management Policies for Exurban and Suburban Development: Theory and an Application to Sonoma County, California," Agricultural and Resource Economics Review, Cambridge University Press, vol. 40(3), pages 375-392, December.
    2. Legras, Sophie, 2015. "Correlated environmental impacts of wastewater management in a spatial context," Regional Science and Urban Economics, Elsevier, vol. 52(C), pages 83-92.
    3. Sophie Legras, 2013. "From the tank to climate change: multiple environmental impacts of wastewater management," Working Papers hal-01190244, HAL.
    4. Walid Oueslati & Seraphim Alvanides & Guy Garrod, 2015. "Determinants of urban sprawl in European cities," Urban Studies, Urban Studies Journal Limited, vol. 52(9), pages 1594-1614, July.
    5. Wrenn, Douglas H. & Irwin, Elena G., 2015. "Time is money: An empirical examination of the effects of regulatory delay on residential subdivision development," Regional Science and Urban Economics, Elsevier, vol. 51(C), pages 25-36.
    6. Magliocca, Nicholas & McConnell, Virginia & Walls, Margaret, 2015. "Exploring sprawl: Results from an economic agent-based model of land and housing markets," Ecological Economics, Elsevier, vol. 113(C), pages 114-125.
    7. Daniele Spirandelli, 2015. "Patterns of Wastewater Infrastructure along a Gradient of Coastal Urbanization: A Study of the Puget Sound Region," Land, MDPI, vol. 4(4), pages 1-20, November.
    8. Ponstingel, Daria, 2020. "The impact of exurban development on forested areas in Kurgan City, Russia," Land Use Policy, Elsevier, vol. 94(C).
    9. Coisnon, Thomas & Oueslati, Walid & Salanié, Julien, 2014. "Urban sprawl occurrence under spatially varying agricultural amenities," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 38-49.
    10. Thomas Coisnon & Walid Oueslati & Julien Salanié, 2012. "Urban sprawl occurrence under spatially varying agricultural bid-rent and amenities," Working Papers halshs-00748681, HAL.
    11. Tong, Qingmeng & Qiu, Feng, 2020. "Population growth and land development: Investigating the bi-directional interactions," Ecological Economics, Elsevier, vol. 169(C).
    12. Wendong Zhang & Douglas H. Wrenn & Elena G. Irwin, 2017. "Spatial Heterogeneity, Accessibility, and Zoning: An Empirical Investigation of Leapfrog Development," Journal of Economic Geography, Oxford University Press, vol. 17(3), pages 547-570.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Elena G. Irwin, 2010. "New Directions For Urban Economic Models Of Land Use Change: Incorporating Spatial Dynamics And Heterogeneity," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 65-91, February.
    2. Coisnon, Thomas & Oueslati, Walid & Salanié, Julien, 2014. "Urban sprawl occurrence under spatially varying agricultural amenities," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 38-49.
    3. Guillaume POUYANNE, 2008. "Economics of discontinuous urban development (In French)," Cahiers du GREThA (2007-2019) 2008-07, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    4. Caruso, Geoffrey & Peeters, Dominique & Cavailhes, Jean & Rounsevell, Mark, 2007. "Spatial configurations in a periurban city. A cellular automata-based microeconomic model," Regional Science and Urban Economics, Elsevier, vol. 37(5), pages 542-567, September.
    5. Chen, Yong & Irwin, Elena G. & Jayaprakash, Ciriyam & Irwin, Nicholas B., 2017. "Market thinness, income sorting and leapfrog development across the urban-rural gradient," Regional Science and Urban Economics, Elsevier, vol. 66(C), pages 213-223.
    6. Wendong Zhang & Douglas H. Wrenn & Elena G. Irwin, 2017. "Spatial Heterogeneity, Accessibility, and Zoning: An Empirical Investigation of Leapfrog Development," Journal of Economic Geography, Oxford University Press, vol. 17(3), pages 547-570.
    7. Lewis, David J. & Provencher, Bill & Butsic, Van, 2009. "The dynamic effects of open-space conservation policies on residential development density," Journal of Environmental Economics and Management, Elsevier, vol. 57(3), pages 239-252, May.
    8. Wrenn, Douglas H. & Sam, Abdoul G., 2014. "Geographically and temporally weighted likelihood regression: Exploring the spatiotemporal determinants of land use change," Regional Science and Urban Economics, Elsevier, vol. 44(C), pages 60-74.
    9. Thomas Coisnon & Walid Oueslati & Julien Salanié, 2012. "Urban sprawl occurrence under spatially varying agricultural bid-rent and amenities," Working Papers halshs-00748681, HAL.
    10. Turner, Matthew A., 2005. "Landscape preferences and patterns of residential development," Journal of Urban Economics, Elsevier, vol. 57(1), pages 19-54, January.
    11. Douglas H. Wrenn & H. Allen Klaiber & David A. Newburn, 2017. "Confronting Price Endogeneity in a Duration Model of Residential Subdivision Development," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 32(3), pages 661-682, April.
    12. Pierre M. Picard & Thi Thu Huyen Tran, 2020. "A Welfare Evaluation of Green Urban Areas," DEM Discussion Paper Series 20-21, Department of Economics at the University of Luxembourg.
    13. Marcy Burchfield & Henry G. Overman & Diego Puga & Matthew A. Turner, 2006. "Causes of Sprawl: A Portrait from Space," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 587-633.
    14. Elena G. Irwin & Andrew M. Isserman & Maureen Kilkenny & Mark D. Partridge, 2010. "A Century of Research on Rural Development and Regional Issues," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 92(2), pages 522-553.
    15. Wrenn, Douglas H. & Klaiber, Allen & Newburn, David, 2017. "Price-Based Policies for Managing Residential Land Development: Impacts on Water Quality," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258578, Agricultural and Applied Economics Association.
    16. Zipp, Katherine Y. & Lewis, David J. & Provencher, Bill, 2017. "Does the conservation of land reduce development? An econometric-based landscape simulation with land market feedbacks," Journal of Environmental Economics and Management, Elsevier, vol. 81(C), pages 19-37.
    17. Dominique Peeters & Geoffrey Caruso & Jean Cavailhès & Isabelle Thomas & Pierre Frankhauser & Gilles Vuidel, 2015. "Emergence Of Leapfrogging From Residential Choice With Endogenous Green Space: Analytical Results," Journal of Regional Science, Wiley Blackwell, vol. 55(3), pages 491-512, June.
    18. Magliocca, Nicholas & McConnell, Virginia & Walls, Margaret, 2015. "Exploring sprawl: Results from an economic agent-based model of land and housing markets," Ecological Economics, Elsevier, vol. 113(C), pages 114-125.
    19. Chen, Yong & Irwin, Elena G. & Jayaprakash, Ciriyam, 2011. "Incorporating Spatial Complexity into Economic Models of Land Markets and Land Use Change," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 40(3), pages 1-20, December.
    20. Walid Oueslati & Seraphim Alvanides & Guy Garrod, 2015. "Determinants of urban sprawl in European cities," Urban Studies, Urban Studies Journal Limited, vol. 52(9), pages 1594-1614, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jeeman:v:62:y:2011:i:3:p:323-336. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/622870 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.