Evaluating Future Growth
Evaluating the Consequences of Future Changes
The consequences of each alternative future are assessed
using a series of interlinked models. The economic models project the likely
composition and performance of La Paz’s economy, with economic performance
measured by gross regional product, per capita income, and employment. Assessing
the hydrological impacts of the region requires two models: one for groundwater
and a second model for surface water. The groundwater model predicts the impact
of increasing water demands on the quantity of groundwater storage in the
underlying aquifer, locates the extent of saltwater intrusion for each scenario,
and identifies wells at risk. The surface-water model evaluates the risk of
flooding from hurricanes. A marine ecological model assesses the potential
impact of land use changes on La Paz’s lagoon that lies along the front edge of
the city. The impacts on terrestrial ecology model are estimated through the use
of a model that evaluates changes to different vegetation and habitat
categories. Changes in the visual landscape are estimated using a model based on
the scenic preferences and visual quality of the landscape as reported by local
residents and tourists. A recreation model identifies areas of highest
recreational value to residents and tourists, and is used to assess the impact
of future land use.

Figure 26. Interlinked models used for the analysis.
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Impacts of Groundwater
A groundwater model developed for this study is used to
predict the impact of future growth on the condition of the aquifer that
supplies La Paz with its fresh water. The model is based on the demands of the
growing population for drinking water, in addition to commercial, industrial and
agricultural uses.
The largest decline in the groundwater level is seen in the vicinity of the
wells providing municipal drinking water. This drop in available water is
estimated at around ten meters in Alternative Future A and two meters in
Alternative Future C over the twenty-year period. Current water extraction from
the aquifer exceeds sustainable levels. Furthermore, according to the
hydrological model, future growth in water demand will put about one quarter of
the region’s wells at risk of saline intrusion. This risk increases as more
freshwater is pumped out of the aquifer, allowing saline water to enter the
aquifer.
These results imply that the higher growth scenarios are subject not only to a
higher risk of declining water availability, but also to a greater risk of a
decrease in the quality of the remaining water stocks. This suggests that new,
and likely more expensive sources of water, such as desalinization will need to
be developed. Of course, this may have additional economic and ecological
impacts. A rising cost of water is economically equivalent to falling personal
income, as well as a tax on future business. Desalination also entails potential
ecological damage associated with the discharge of highly saline waste into the
fragile marine ecosystems and increased air pollution emissions associated with
the production of electric power necessary to operate the desalination plant.
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Figure 27. Aquifer area. |
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Figure 28. Aquifer drawdown.
Alternative Future A.
Rapid growth, unregulated
policy set, high public resources. |
Figure 29. Aquifer drawdown.
Alternative Future B.
Medium growth, legal policy
set, low public resources. |
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Figure 30.
Aquifer drawdown. Alternative Future C.
Trend growth,
proactive policy set, high public resources. |
|

Figure 31. Loss in potable water under different growth projections.
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Surface Water Impacts
Hurricanes have played a profound role in the history of La Paz, periodically
causing floods that result in significant economic damage, and at times
resulting in the loss of life. As La Paz grows in the future, there will be an
increased risk of severe losses if more population is situated within the areas
of highest risk. The surface water component in this study estimates the areas
at risk of flooding in major hurricane events. In Figures 33, 34, and 35, the
projected new land uses are superimposed on the area of 100-year flood plain to
show the developed areas at risk of flooding if actions are not taken to either
reduce the incidence of flooding in these areas or prevent future development in
these areas.
Climatologists are exploring a possible link between human-induced climate
change and an increase in the number of major hurricanes. Should these
connections prove to be true, the Baja peninsula can expect an increase in the
frequency and severity of hurricanes in the future. Rising sea levels is another
risk from global climate change. This would increase the severity of coastal
flooding associated with storm surges.
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| Major storms regularly
inundate the streets of La Paz with water. |
Serious hurricanes hit La
Paz on average once every two years. |
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| Figure 32. The one-hundred
year floodplain. |
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Figure 33.
Areas at risk of flooding. Alternative Future A.
Rapid growth,
unregulated policy set, high public resources. |
Figure 34.
Areas at risk of flooding. Alternative Future B.
Moderate
growth, legal policy set, low public resources. |
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|
Figure 35.
Areas at risk of flooding. Alternative Future C.
Trend growth,
proactive policy set, high public resources. |
|
<To see the impacts
of all the scenarios, please click here>
<To compare scenarios with impacts, please
click here>
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Impacts on Marine Ecology
The La Paz Lagoon is formed by the 11
kilometer barrier beach – the Mogote – and covers an area of 45 square
kilometers. A narrow cut in the northeastern end connecting the lagoon to the
Bay of La Paz allows for the exchange of water with the Sea of Cortez. The
lagoon is especially valuable because of its roles in support of mangrove
habitat and fish populations. The lagoon is also the waterfront for most of the
city, such that its water quality is important for public health, recreation,
and the visual aesthetic of the city.
A majority of the run-off from La Paz flows directly into the La Paz Lagoon.
Pollution and sedimentation associated with this surface water run-off has had
important impacts on the ecology of the lagoon system. This process was
particularly evident with the dangerously high levels of bacterial pollution in
the lagoon in the 1980s. Investments in water treatment have greatly improved
water quality. Other more direct impacts on these fragile ecosystems include the
clearing of mangroves and the damage to benthic communities from fishing and
collection of mollusks.
Although considerable scientific research has been carried out on the lagoon
system, there are no comprehensive studies that would permit a quantitative
assessment of aggregate changes in the lagoon marine ecosystems. In place of
such a quantitative model, this study relies on a qualitative assessment of the
likely changes in the lagoon resulting from land use change.
Five criteria were selected to measure the impacts of future changes:
Eutrophication: the physical and chemical changes associated with excessive
nitrogen and phosphorus concentrations, and the corresponding surge in aquatic
plant growth.
Pollution: undesirable changes in the physical, chemical, and biological
characteristics of the water potentially damaging to human and ecosystem health,
and to the aesthetic quality of the lagoon.
Direct and indirect impacts: impacts resulting from the physical modification of
the lagoon and adjacent land.
Stability: changes in the resilience of the lagoon’s natural systems to respond
to external changes.

Figure 36. Marine ecology impact index.

The Mogote forms a barrier between the Ensenada de La Paz and the Bay of
La Paz.
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Impacts on Terrestrial Ecology
The terrestrial ecology of the La Paz region
is directly impacted by development through the loss of natural habitat. In this
study, a terrestrial ecology model assesses the consequences of the alternative
futures on different vegetation and habitat categories that have been evaluated
by their biotic importance. The mayor habitat types in the region include
mattorales, cactus forests, mangroves and coastal dune vegetation. The model
rates terrestrial ecosystems based upon 5 criteria:
Species richness – the total number of different species found in the area
Endemism – the presence of rare species, species in danger of extinction, or
species not found in other locations
Edge conditions – the transition zones between different ecozones are of
particular ecological value
Wetlands – mangroves, other wetland habitats, and their area of influence are
especially valued for the multiple ecological functions they perform
Natural protected areas – this criterion recognizes existing legal protection
based on natural ecosystem values
These 5 criteria are combined with existing land use conditions to form an index
of the value of the natural habitats for each location in the study area. A map
of these qualitative values is shown in Figure 37, displaying the relative
ecological value of different terrestrial areas
The potential damage to these areas depends upon the specific location and type
of future land use change. New land uses of the alternative futures are
aggregated into groups based upon their impacts associated with construction,
maintenance, and future use. Amongst the most severe potential impacts is the
destruction of mangrove habitat for waterfront development.
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| Dryland ecosystems and
cactus forests characterize the landscape surrounding La Paz. |
Mangroves are critical for
protecting animals and supporting marine life. |
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Figure 37. Terrestrial ecology
priority areas. |
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Figure 38. Impacts on
terrestrial ecology. Alternative Future A.
Rapid growth, unregulated
policy set, high public resources. |
Figure 39. Impacts on
terrestrial ecology. Alternative Future B.
Moderate growth, legal policy
set, low public resources. |
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Figure 40. Impacts on
terrestrial ecology. Alternative Future C.
Trend growth, proactive policy
set, high public resources. |
|
<To see the impacts
of all the scenarios, please click here>
<To compare scenarios with impacts, please
click here>
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Impacts on Visual Quality

Figure 41. Visual model protocol.
Visual quality is unquestionably one of the
region’s key assets at risk of further degradation from future development. This
potential degradation can have severe negative impacts on La Paz’ tourism and
development industries, and the region’s economy. To assess the consequences of
future change on the visual landscape, a model of visual quality is produced
using the results of a photographic survey of residents and visitors. Survey
respondents were asked to order by preference sixty photographs that represent
the existing landscape of the La Paz region according to the scenic preferences.
The sixty photographs in order of preference are shown in Figure 43.
These results are summarized and translated into a map of landscape quality (see
Figure 42) and into a computer model. The model applies these preferences to
describe the existing scenic qualities throughout the study area and formed the
basis for measuring changes in visual quality associated with each alternative
future. In Figures 44, 45, and 46, the mainly negative
impacts of Alternative Futures A, B, and C are highlighted. Note especially the
impact along the coastline and the roads that are now highly scenic.
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| A photographic survey asks
local residents and visitors to show their visual preferences. |
Views out
towards the water from La Paz are important for visitors and residents. |
Scenes of undeveloped
coastline received the highest score in visual surveys. |
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Figure 42. Visual quality priority areas. |
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| 4.68 |
4.50 |
4.45 |
4.27 |
4.13 |
4.09 |
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| 4.04 |
4.00 |
4.00 |
3.90 |
3.90 |
3.86 |
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| 3.81 |
3.81 |
3.77 |
3.77 |
3.77 |
3.72 |
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| 3.63 |
3.63 |
3.63 |
3.50 |
3.45 |
3.45 |
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| 3.27 |
3.18 |
3.13 |
3.13 |
3.09 |
3.09 |
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| 3.04 |
3.00 |
2.95 |
2.90 |
2.90 |
2.86 |
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| 2.86 |
2.81 |
2.77 |
2.77 |
2.72 |
2.72 |
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| 2.63 |
2.63 |
2.63 |
2.63 |
2.59 |
2.59 |
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| 2.50 |
2.40 |
2.40 |
2.27 |
2.27 |
2.18 |
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| 1.81 |
1.81 |
1.45 |
1.27 |
1.09 |
0.36 |
Figure 43. The sixty pictures of the photographic survey in order of
preference.
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Figure 44. Impacts on visual
quality. Alternative Future A.
Rapid growth, unregulated
policy set, high public resources |
Figure 45. Impacts on visual
quality. Alternative Future B.
Moderate growth, legal policy
set, low public resources. |
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Figure 46.
Impacts on visual quality. Alternative Future C.
Trend growth,
proactive policy set, high public resources. |
|
<To see the impacts of all
the scenarios, please click here>
<To compare scenarios with impacts, please
click here>
<Return to top>
Impacts on Recreation
The many recreational areas surrounding La Paz
are a key feature in the landscape. These areas attract visitors to the region
and add to the quality of life in La Paz. A recreation model identifies areas of
highest recreational value to residents and tourists and is used to evaluate the
impact of future land use.
The greatest threat to public recreation areas is the development of private
housing and tourist resorts that restrict public access to beaches.
These impacts can be seen in Figures 48, 49, and 50 on the coastal areas of the
northern La Paz peninsula area including the Balandra and Tecolote areas. These
areas that Paceños and tourists have historically used for recreation have been
de facto public areas. However, they are not legally defined as either public or
recreational areas. Deciding the future of these lands promises to be a
contentious issue, and the subject of legal disputes and social conflicts.
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| Tecolote is one of the few
areas on the northern peninsula with permanent structures. |
Diving, snorkelling,
fishing and windsurfing of among the
water sports enjoyed in
the area. |
El Tesoro, one of several
public beaches in the region. |
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| Figure 47. Recreational
priority areas. |
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Figure 48. Impacts on
recreation. Alternative Future A.
Rapid growth, unregulated
policy set, high public resources |
Figure 49. Impacts on
recreation. Alternative Future B.
Moderate growth, legal policy
set, low public resources. |
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Figure 50. Impacts on
recreation. Alternative Future C.
Trend growth, proactive policy
set, high public resources. |
|
<To see the impacts of all
the scenarios, please click here>
<To compare scenarios with impacts, please
click here>
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Areas of Conflict
An aggregate spatial analysis allows a
projection of the areas in the landscape that are potential sites of conflict in
the future. This analysis is carried out with the overlay of two aggregate maps.
Figure 51 combines the various attractiveness maps presented earlier. This map
shows the areas with the most intense pressure for development. Figure 52 is a
combination of the terrestrial ecology, visual quality, and recreational quality
maps. This map serves as a measure of the aggregate environmental value of each
location in the region.
Overlaying these two maps produces Figure 53, which displays the different
possible combinations of development pressure against the ecological, visual,
and recreational value of the landscape.
The areas surrounding the existing urban area and road systems are very likely
to be developed at moderate to low environmental cost. The outlying areas will
continue to experience lower pressure for development and are therefore likely
to be protected, even if passively. The areas in dark brown indicate areas of
conflict, locations of high development pressure and high environmental value.
Examples are the peninsular coastline to the north, which includes the Balandra
and Tecolote areas, as well as the Mogote, the barrier beach of the La Paz
lagoon. These are the areas of potential conflict that will require the
attention of policy makers to resolve.
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Figure 51. Aggregate development
attractiveness. |
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Figure 52. Aggregate environmental
quality. |
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Figure 53. Potential areas of conflicting
land use demand. |
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Economic Impacts
We complete the assessment of impacts with an
evaluation of the likely economic changes associated with each of the
Alternative Futures. Economic performance – generating new jobs and higher
incomes – is an important determinant in the welfare of the region’s
inhabitants.
The economic analysis is based upon modifications to the three reference growth
projections presented earlier: trend, medium, and rapid growth. The key
differences in the three growth projections are the growth rates in the tourism
and real estate sectors. These are the two sectors of the economy with the
greatest potential for rapid growth, stimulating further growth in the rest of
the economy. The economic performance of the tourism and real estate sectors
from 2010 to 2020, however, are linked to the results of the ecological, visual,
and recreational impact models. The demand stemming from the tourism sector and
the most environmentally-sensitive segments of the real estate market will
naturally decline with a drop in the quality of the physical environment.
Therefore, the results presented here deviate from the reference projections in
the second decade.
One of the consequences of the impacts on the ecological, visual, and
recreational landscapes, particularly in Alternatives Aand C, is a decline in
the rate of growth for the period of 2010 to 2020 (Figure 54). Despite this
slowing of growth, Alternative Future A produces the highest growth in gross
output and job creation (Figure 55), followed by Alternative Future B.
The economic consequences of a declining
environmental base are much more pronounced when viewed in terms of per-capita
income. Although the per capita income measures for the three scenarios follow
the same path for the first decade, it diverges in the second decade.
Alternative Future C produces significantly higher average incomes while per
capita income growth is projected to be stagnant for Alternative Future A in the
second decade.
When a broader range of scenarios is analyzed, the scenarios that are based on
the proactive policy set outperform the unregulated and legal scenarios in
economic terms, as well as the natural environmental measures. The unrestricted
and legal policy sets exhibit a relative decline in per-capita income. The
underlying mechanism driving these results is the combination of higher
population growth rates associated with the first decade of high economic growth
followed by a drop in economic growth in the second decade.
The rapid growth scenario without adequately protecting public amenities is
essentially the same cycle of over-exploitation and depletion of natural
resources seen throughout La Paz’ history. It is also consistent with the
phenomenon observed in many destinations around the world where an expansion is
followed by a subsequent decline. The decline in the tourism cycle is generally
prompted by deterioration in the natural and social environment. The most
prominent example of this process in Mexico is Acapulco Bay, where congestion
and a decline in water quality have been associated with a shift in the tourism
market and erosion in the sector’s profitability.
The higher growth scenarios that produce higher incomes and generate more jobs
have clear economic benefits. However, these benefits are reduced substantially
when accompanied by the degradation of public environmental assets.

Figure 54. Gross regional product

Figure 55. Employment

Figure 56. Per capita income
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| Tourism and real estate
development will spur future growth of the region. |
Small businesses are
important contributors to region income. |
The economy of the region
of La Paz is dominated by commerce and services. |
<Return to top>
A Comparison of Eighteen Alternative Futures
<To see all the scenarios, please click here>
<To compare scenarios with impacts, please
click here>

Figure 57. Land use 2020 in the
the eighteen scenarios.[Growth projection, policy set,
level of public financial resources.]
Projected land use in 2020 for each of the
eighteen possible alternative futures is shown in Figure 57. The environmental
and economic results are compared using two summary indices in Figure 58. The
economic summary index is created using gross regional product and per capita
income projections. The visual, recreational, and ecological impacts for each of
the scenarios are combined to form an index of environmental performance. Among
the many economic and environmental outcomes, the unregulated futures do not
perform well. While the alternatives based on existing laws perform better, the
proactive policies produce the most best outcomes. Within each policy option,
there are trade-offs between economic and environmental outcomes.
 
Figure 58. Summary results for the eighteen
scenarios.
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