Mutual Economic Incentives for Urban Tree Canopy Restoration

Authors

Paul E. Thompson Jr., University of LouisvilleFollow

Abstract

Potential alignment of economic incentives for tree canopy restoration are modeled using data from a 2015 Louisville Metro Government (KY) Urban Tree Canopy Assessment. The study revealed marked declines in urban canopy coverage from 2004-2012; accelerating losses are forecast through 2050. Tree coverage conveys substantial financial benefit to private property owners, primarily through increased property valuations. Benefits to local government may be derived from the corresponding increase in property tax assessments. A comprehensive cost-benefit analysis demonstrates the economic efficiency of tree purchase vouchers (issued by government to private property owners) as a potential contributing solution to urban canopy loss.

Recommended Citation

Thompson, Paul E. Jr. (2017) "Mutual Economic Incentives for Urban Tree Canopy Restoration," Undergraduate Economic Review: Vol. 14: Iss. 1, Article 9.
Available at: https://digitalcommons.iwu.edu/uer/vol14/iss1/9