Skip to Main Content
A discrete-space urban model with environmental amenitiesAuthor(s): Liaila Tajibaeva; Robert G. Haight; Stephen Polasky
Source: Resource and Energy Economics. 30: 170-196.
Publication Series: Scientific Journal (JRNL)
Station: Northern Research Station
PDF: Download Publication (1.08 MB)
DescriptionThis paper analyzes the effects of providing environmental amenities associated with open space in a discrete-space urban model and characterizes optimal provision of open space across a metropolitan area. The discrete-space model assumes distinct neighborhoods in which developable land is homogeneous within a neighborhood but heterogeneous across neighborhoods. Open space provides environmental amenities within the neighborhood it is located and may provide amenities in other neighborhoods (amenity spillover). We solve for equilibrium under various assumptions about amenity spillover effects and transportation costs in both open-city (with in- and out-migration) and closed-city (fixed population) versions of the model. Increasing open space tends to increase equilibrium housing density and price within a neighborhood. In an open-city model, open space provision also increases housing density and price in other neighborhoods if there is an amenity spillover effect. In a closed-city model, housing density and prices in other neighborhoods can decrease if the pull of the local amenity value is stronger than the push from reduced availability of developable land.We use numerical simulation to solve for the optimal pattern of open space in two examples: a simple symmetric case and a simulation based on the Twin Cities Metropolitan Area, Minnesota, USA.
- Check the Northern Research Station web site to request a printed copy of this publication.
- Our on-line publications are scanned and captured using Adobe Acrobat.
- During the capture process some typographical errors may occur.
- Please contact Sharon Hobrla, email@example.com if you notice any errors which make this publication unusable.
- We recommend that you also print this page and attach it to the printout of the article, to retain the full citation information.
- This article was written and prepared by U.S. Government employees on official time, and is therefore in the public domain.
CitationTajibaeva, Liaila; Haight, Robert G.; Polasky, Stephen. 2008. A discrete-space urban model with environmental amenities. Resource and Energy Economics. 30: 170-196.
Keywordsopen space, environmental amenities, discrete urban economics model
- Relative economic values of open space provided by National Forest and military lands to surrounding communities in Colorado
- Growing quality of life: urban trees, birth weight, and crime
- Protected Area Designation, Natural Amenities, and Rural Development of Forested Counties in the Continental United States
XML: View XML