Transcript The Economy of US Coastal Communities

Protecting
Lives
and Property
at Our
Coastlines
National
Marine
Sanctuary
Foundation
A Disaster
CapitolRoundtable
Hill OceanWorkshop
Week
The National Academies
The Economy of US Coastal
Our
Communities
Dr. Judith T. Kildow, Director and PI
The National Ocean Economics Program
The Monterey Bay Aquarium Research Institute
June 6, 2007
Topics
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•
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•
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Contribution
Trends
Uniqueness
Challenges
What to do
Summary
Coastal counties
contribute 45% to
the US economy
BUT
They are at risk
Our Coasts Drive the Nation
The Contribution 2005
• US Coastal County Economy = $5.6 Trillion
• US Coastal State Economy = $10.3 Trillion
• US Total Economy = $12.4 Trillion
US Coastal Counties 2005
Coastal County Contribution to All Coastal States 2005
60%
55%
55%
50%
50%
50%
50%
40%
33%
30%
20%
10%
0%
Employment
Wages
GSP
Population
Housing
50% of Jobs
55% of Wages
All on 7.6%
45% of GSP
50% of Population
50% of Housing
Land
of Land
County Sector Contributions 2004
Coastal Leisure and Hospitality
$340 Billion to US Economy
10 million Jobs
Average wage - $10,500
Trade, Transportation, and Utilities
$950 Billion
11 million Jobs
Average wage - $37,000
Economic Trends
• Industry shifts
– Manufacturing and production to services
– Tourism and Transportation increasing
– Fishing, offshore minerals, ship building decreasing
• Demographic shifts
– Bifurcated population between rich and poor
– Second homes growing and changing communities
• Environmental impacts affecting economy
– Climate change: sea level rise - erosion,
– warming- toxic blooms, intense storms - floods
Trends
• Declining fishing communities
• New industries substituting
o Whale watching
o Wildlife viewing
Small communities of cottages
turned to mansion strongholds
Uniqueness
Extraordinary natural assets
Uniqueness
Dependence on the sea
Uniqueness
Exposure to increased natural hazards
Challenges
How to live with
• Natural Hazards
–
–
–
–
Erosion
Floods
Sea Level Rise
Natural resource threats
• Toxic blooms
• Shifting ecosystems
• Ocean response to climate change
Florida at Risk
Ocean Warming
Sea Level Rise
Vero Beach, Florida
Florida Shoreline Counties 2004
4% of US Economy
(.5 trillion $)
0.33% of US Land
68% of state GSP
67% of state Jobs
Coastal County Comparison
California
11% of US economy
1.1% of US land area
79% of state jobs
83% of state GSP
75% of state residents
25% of state land area
Florida
4% of US economy
.33% of US land area
67% of state jobs
68% of state GSP
77% of state residents
56% of state lands
14%
2000-2005 Coastal County Growth Rates
12%
10%
8%
6%
4%
2%
0%
California
Florida
Employment
1.2%
9.6%
Population
4.5%
10.5%
Housing
4.5%
12.4%
Gulf Coastal Counties
5% of US Economy
1.4% of US Land Area
29% of Gulf Economy
27% of Gulf jobs
29% of Gulf States GSP
27.2% Of People
11.2%of Gulf state lands
Challenges
From Human Activities
• Controlling Population growth
• Affordable housing
• Seasonal demands and downside of tourism
• Expanding transportation and other
infrastructure
• Protecting built infrastructure
– Power plants, sewage treatment, communications
• Protecting fresh water supplies from saltwater
intrusion
• And more…….
National Security/Economies at Risk
Offshore Minerals
Pebble Beach
18th hole
Fishing
Transportation
Real Estate
(griggs photo)
Tourism
Nuclear Power
Size of the Coastal Economy
2005
Coastal States: $10.3 trillion GSP (83% of US)
~ 106 million jobs
~ $4.5 trillion in wages
Coastal Counties: $5.6 trillion GSP (45% of US)
~ 54 million jobs
~ $2 trillion in wages
US Coastal Tourism: $340 billion GSP
~ 10 million jobs
~ $105 billion in wages
US Coastal Trade, Transportation, and Utilities: $950 billion GSP
~ 11 million jobs
~ $407 billion in wages
What to Do
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Divert economic and population growth inland
Control growth at the coast
Diversify coastal economies
Balance coastal economic contributions with
federal government investments
• Compensate coastal communities for large
cost burden to sustain natural assets that
contribute disproportionately to US economy
• Educate people how to strengthen community
economies.
Information
Political Will
Effective Policies to Decrease
Social and Economic
Vulnerability and Increase Strengths
Healthy Coastal Communities
Face
Realities
The National Ocean
Economics Program
• Sponsors
– NOAA Coastal Services Center
– Monterey Bay Aquarium Research Institute
– The David and Lucile Packard Foundation
– University of Southern California Wrigley Institute and
USC Sea Grant
– California State University at Monterey Bay
– EPA Office of Water
– Others
www.OceanEconomics.org