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Exurban development

Author

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  • 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
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    References listed on IDEAS

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    Cited by:

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    3. 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.
    4. Sophie Legras, 2013. "From the tank to climate change: multiple environmental impacts of wastewater management," Working Papers hal-01190244, HAL.
    5. 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.
    6. Ponstingel, Daria, 2020. "The impact of exurban development on forested areas in Kurgan City, Russia," Land Use Policy, Elsevier, vol. 94(C).
    7. 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.
    8. Tong, Qingmeng & Qiu, Feng, 2020. "Population growth and land development: Investigating the bi-directional interactions," Ecological Economics, Elsevier, vol. 169(C).
    9. 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), pages 1-18, December.
    10. 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.
    11. Thomas Coisnon & Walid Oueslati & Julien Salanié, 2012. "Urban sprawl occurrence under spatially varying agricultural bid-rent and amenities," Working Papers halshs-00748681, HAL.
    12. 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.

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