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Exurban development

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Author Info

  • 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.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Environmental Economics and Management.

Volume (Year): 62 (2011)
Issue (Month): 3 ()
Pages: 323-336

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Handle: RePEc:eee:jeeman:v:62:y:2011:i:3:p:323-336

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Web page: http://www.elsevier.com/locate/inca/622870

Related research

Keywords: Land use; Sprawl; Urban–rural fringe; Leapfrog development; Dynamic spatial modeling;

References

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Citations

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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, Northeastern Agricultural and Resource Economics Association, vol. 40(3), December.
  2. Thomas Coisnon & Walid OUESLATI & Julien Salanié, 2012. "Urban sprawl occurrence under spatially varying agricultural bid-rent and amenities," Working Papers halshs-00748681, HAL.
  3. Sophie Legras, 2013. "From the tank to climate change: multiple environmental impacts of wastewater management," Working Papers 187056, Institut National de la Recherche Agronomique, France.
  4. 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.
  5. Walid Oueslati & Seraphim Alvanides & Guy Garrod, 2014. "Determinants of urban sprawl in European cities," Working Papers hal-00943319, HAL.

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