Retaining Open Space with Purchasable Development Rights Programs

This paper examines the preservation of farmland through purchasable development rights. In a comparison of the estimated costs and benefits associated with the development of open space from 1982 to 1992, we show that these programs may provide a net benefit to society. An econometric model is employed to address the question of what factors explain both the creation of these programs and the magnitude of farmland preservation. Elasticity measures derived from the model indicate that a wide range of ecological and sociological variables are important in explaining the activity in purchasable development rights programs.