ch4 day1

While most real property in the United States is privately owned, government regulations limit private property use and therefore play an important role in the determination of property value. Proponents of government intervention argue that regulation is needed to address the unintended and unaccounted for consequences of one land user upon others, more commonly referred to as:

• incomplete information.

• locational monopoly.

• externalities.

• urban sprawl.

Externalities can play a key role in determining a property’s price, either by adding value through positive externalities or by diminishing value through negative externalities. Which of the following is most likely to be considered a negative externality?

• nearby parks and recreation facilities

• quality neighborhood schools

• public assistance facilities such as homeless shelters

• well-kept landscapes

Development taking place in rural areas well beyond the urban fringe is commonly referred to as:

• urban sprawl.

• holdout.

• urban service areas.

• homestead.

It was not until the late 1960’s that land use controls moved to the forefront of public interest, as the belief that the environment was an endless and costless resource was replaced with the notion that the world was a closed system with limited space, air, water, and other resources. Environmentalists coined which of the following terms to refer to this new point of view?

• smart growth

• The Silent Spring

• spaceship earth

• urban sprawl

After a structure is built, it is impractical for even a building expert to fully assess the quality of the construction and the safety hazards it may harbor. This is an example of which of the following problems that plagues private real estate markets?

• externalities

• incomplete information

• locational monopoly

• holdout

Growth management laws at the state level require local districts to plan for and meet certain requirements. One such requirement prohibits local development unless adequate infrastructure, schools, police/fire protection, and social services have been put in place first. This requirement is referred to as the:

• economic and environmental impact requirement.

• concurrency requirement.

• affordable housing requirement.

• extraterritorial district requirement.

In their comprehensive plan, local governments must include a “reasonable and fair” component of new housing construction for lower-income families. This requirement is referred to as the:

• economic and environmental impact requirement.

• concurrency requirement.

• affordable housing allocation requirement.

• extraterritorial jurisdiction requirement.

Proposals for large-scale developments must be accompanied by studies that analyze the project’s effect on the surrounding area. This requirement is referred to as the:

• economic and environmental impact requirement.

• concurrency requirement.

• smart growth requirement.

• extraterritorial jurisdiction requirement.

State laws may provide local governments the power to plan and control urban development outside their boundaries until annexation can occur. In doing so, the local government establishes what is more commonly referred to as:

• urban service.

• urban sprawl.

• concurrency.

• extraterritorial jurisdiction.

Delineated areas in which local governments plan to provide public services and facilities are more commonly referred to as:

• urban service areas.

• homesteads.

• urban sprawl.

• extraterritorial jurisdiction.