Fig. 3: Baseline model scenario.
From: Policy and market forces delay real estate price declines on the US coast
The baseline case assumes that SLR begins at t = 50 (marked by a vertical gray line) and continues throughout the remaining periods. Beach nourishment is subsidized at 90% of the cost. Outside property prices are constant, and agent flux is turned on (relatively high-income agents are able to enter to exploit arbitrage opportunities with outside markets). Depicts model simulation outcomes for oceanfront properties (blue), non-oceanfront properties (orange), beach width (solid black), and expected beach width (dashed black). Outcomes include property value (a), beach width (b), share of housing owned by investors (c), expected rate of return on coastal real estate (d), marginal income tax rate of property owners (e), and risk premium for coastal real estate (f).
