Policy Options

Each of the four identified market failures present in the Mojave National Preserve can be addressed through various policy initiatives; each of these may contain certain political difficulties. The first market failure is related to the series of toxic spills associated with the Molycorp mine company. Because the spills are a local pollution issue, policies should be directed solely towards Molycorp, Inc. One such policy would be harsh penalties for toxic waste spills. This penalty will internalize the social costs associated with the externality, thus providing the company with an economic incentive to avoid further spills. Since the spills took place during the cleaning of the pipes, the government could also regulate the methods and safety precautions used during the cleaning process. Political difficulties that may arise could come from industry lobbyists who may oppose such regulations. Once in effect, the monitoring and enforcement of regulations could also prove difficult and costly.

The pollution caused by the military installations near the preserve could be dealt with by direct regulation of the military operations. By limiting the number and type of activities the military carries out, the noise, air, and light pollution could be curbed. In addition, the air above the Mojave preserve could be deemed a no-fly zone. This would prevent military aircraft from conducting training exercises over the preserve, which would limit some of the light and noise pollution. These policies could prove difficult because of the inherent need for such military operations.

The third issue affecting the preserve is the expanding population from southern California and Las Vegas. This urban sprawl has led to increased traffic on interstate highways. The emissions from the increase in cars has in turn caused an increase in air pollution. One way to deal with this issue is to raise emissions standards in Nevada to an equivalently high standard as California. This could prove to be politically difficult because of mixed opinions in the Nevada state assembly. Another consequence of the increased development is a decrease in groundwater supplies. The government could encourage water conservation through educational programs in the developments neighboring the preserve. There could also be restrictions on the use of water, for example watering lawns only in early morning or late evening, and other strategies designed to limit water consumption. There may be resistance to these regulations among the residents of the developments, which would make monitoring and enforcing difficult.

Finally, the particulate matter associated with off-road vehicles and livestock grazing causes air pollution. This could be solved by limiting off-road use to necessary activities and by limiting herd sizes. Recreational off-road activities can be regulated through a system of license fees. The cost of getting a license would discourage excess recreational use. Herd size restrictions could face opposition from local agricultural groups.