The traditional approach to development of the predominantly rural and small town communities surrounding public lands has been the promotion of commodity-based development rooted in economic base theory (Harris et al., 2003). According to this model, external demand for commercially valuable commodities produced locally drives economic growth. In the nonmetropolitan, historically, the export-based economies have been based on extractive and manufacturing industries (Rudzitis and Johnson, 2000). The base industry attracts other firms that provide services to the industry and its employees, contributing to economic development.
The forest products industry has been an important economic sector in the U.S. Lake States including Michigan, Minnesota, …show more content…
This approach, sometimes referred to as the quality of life model, argues that people migrate to seek out high amenity physical and sociocultural environments and firms also follow people. The logic, as formulated by Diamond and Tolley (1982), assumes that what makes one location different from another is amenities. An amenity is defined as a non-traded or location-specific good (Tolley 1974; Graves and Linneman, 1979). Migration serves as an equilibrating reaction to a non-optimal location. If the demand for location-specific amenity changes (proximity to public lands), migration should occur. The demand for amenity goods may vary over a household’s lifetime and change in income. Also, changes in technology, such as declining transportation costs, can promote migration to places with higher amenity values (Rudzitis, 1982, 1989). In addition, amenities are important in attracting and retaining businesses. Both entrepreneurs and businesses place greater importance on amenity and environmental factors in their decisions to locate or stay where they are (Johnson and Rasker, 1993, 1995). In this sense, public lands play an important role in amenity migration because of the natural amenities they provide, such as open space, scenery, outdoor recreation opportunities, and environmental quality (Charnely,
The forest products industry has been an important economic sector in the U.S. Lake States including Michigan, Minnesota, …show more content…
This approach, sometimes referred to as the quality of life model, argues that people migrate to seek out high amenity physical and sociocultural environments and firms also follow people. The logic, as formulated by Diamond and Tolley (1982), assumes that what makes one location different from another is amenities. An amenity is defined as a non-traded or location-specific good (Tolley 1974; Graves and Linneman, 1979). Migration serves as an equilibrating reaction to a non-optimal location. If the demand for location-specific amenity changes (proximity to public lands), migration should occur. The demand for amenity goods may vary over a household’s lifetime and change in income. Also, changes in technology, such as declining transportation costs, can promote migration to places with higher amenity values (Rudzitis, 1982, 1989). In addition, amenities are important in attracting and retaining businesses. Both entrepreneurs and businesses place greater importance on amenity and environmental factors in their decisions to locate or stay where they are (Johnson and Rasker, 1993, 1995). In this sense, public lands play an important role in amenity migration because of the natural amenities they provide, such as open space, scenery, outdoor recreation opportunities, and environmental quality (Charnely,