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Optimal Economic Landscapes with Habitat Fragmentation Effects

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  • Lewis, David J.
  • Wu, JunJie

Abstract

Habitat fragmentation is widely considered a primary threat to biodiversity. This paper develops a theoretical model of land use to analyze the optimal conservation of landscapes when land quality is spatially heterogeneous and wildlife habitat is fragmented and socially valuable. When agriculture is the primary cause of fragmentation, we show that reforestation efforts should be targeted to the most fragmented landscapes with an aggregate share of forest equal to a threshold, defined by the ratio of the opportunity cost of conversion to the social value of core forest. When urban development is the primary cause of fragmentation, we show how spatial heterogeneity in amenities and household neighbor preferences affect the optimal landscape and the design of land-use policies.

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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number 19425.

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Date of creation: 2005
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Handle: RePEc:ags:aaea05:19425

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Keywords: Land Economics/Use;

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  1. Mills, David E., 1981. "Growth, speculation and sprawl in a monocentric city," Journal of Urban Economics, Elsevier, vol. 10(2), pages 201-226, September.
  2. Alexander E. Saak, 2004. "Equilibrium and Efficient Land-Use Arrangements under Spatial Externality on a Lattice," Center for Agricultural and Rural Development (CARD) Publications 04-wp376, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  3. Walsh, Randy, 2007. "Endogenous open space amenities in a locational equilibrium," Journal of Urban Economics, Elsevier, vol. 61(2), pages 319-344, March.
  4. Deacon, Robert T. & Brookshire, David S. & Fisher, Anthony C. & Kneese, Allen V. & Kolstad, Charles D. & Scrogin, David & Smith, V. Kerry & Ward, Michael & Wilen, James, 1998. "Research Trends and Opportunities in Environmental and NaturalResource Economics," Working Papers 98-05, Duke University, Department of Economics.
  5. Andrew J. Plantinga, 1996. "The Effect of Agricultural Policies on Land Use and Environmental Quality," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(4), pages 1082-1091.
  6. Smith, Rodney B. W. & Shogren, Jason F., 2002. "Voluntary Incentive Design for Endangered Species Protection," Journal of Environmental Economics and Management, Elsevier, vol. 43(2), pages 169-187, March.
  7. Stephen K. Swallow & Piyali Talukdar & David N. Wear, 1997. "Spatial and Temporal Specialization in Forest Ecosystem Management Under Sole Ownership," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 311-326.
  8. 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.
  9. Armsworth, Paul R. & Kendall, Bruce E. & Davis, Frank W., 2004. "An introduction to biodiversity concepts for environmental economists," Resource and Energy Economics, Elsevier, vol. 26(2), pages 115-136, June.
  10. Albers, Heidi J., 1996. "Modeling Ecological Constraints on Tropical Forest Management: Spatial Interdependence, Irreversibility, and Uncertainty," Journal of Environmental Economics and Management, Elsevier, vol. 30(1), pages 73-94, January.
  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. Parker, Dawn Cassandra, 2000. "Edge-Effect Externalities: Theoretical And Empirical Implications Of Spatial Heterogeneity," Dissertations 11940, University of California, Davis, Department of Agricultural and Resource Economics.
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