A recent Brookings Institution report, compiled with assistance from U-M researchers, finds that restoring the Great Lakes would bring $50 billion in regional economic gain.

Taking action now to improve the health of the Great Lakes would boost the long-term regional economy by an estimated $50 billion, according to a recent Brookings Institution report compiled with the assistance of several University of Michigan researchers.

The new report, "Healthy Waters, Strong Economy: The Benefits of Restoring the Great Lakes Ecosystem," concludes that people and communities of the Great Lakes region stand to gain at least $50 billion in long-term economic benefit from an investment of $26 billion now on Great Lakes restoration. The resulting net gain of at least $24 billion dollars comes from increases in tourism, the fishing industry, recreational activity and home values. An additional $30 billion to $50 billion in short-term economic activity would stem from the comprehensive clean-up of the Great Lakes.

Donald Scavia, U-M School of Natural Resources and Environment (SNRE) and Jennifer Read, Assistant Director of Michigan Sea Grant, led a panel of scientific experts that helped inform the report. Experts assisted in converting restoration actions outlined in the Great Lakes Regional Collaboration Strategy into environmental, and human health benefits that the economists could evaluate. SNRE professor Michael Moore and SNRE graduate student Kristina Donnelly also assisted, in addition to Olivier Jolliet and Chuanwu Xi of the U-M School of Public Health."This ground-breaking report clearly shows that the long-term environmental benefits of restoring the Great Lakes far outweigh the immediate monetary costs," said Scavia.

The study, co-authored by Paul N. Courant, U-M professor of public policy and economics, John C. Austin, Soren Anderson, and Robert E. Litan, analyzed the cost of restoring the lakes and economic benefit to the region of implementing the Great Lakes Regional Collaboration Strategy, a comprehensive plan crafted by civic, business, environmental, government and Tribal representatives after President Bush signed an executive order in 2004.

Restoration funds would go toward:

• modernizing wastewater treatment systems to reduce sewage and other contamination that will mean fewer beach closings and improved water quality;
• stopping invasive species and increasing the supply of fish in the Great Lakes to avoid the dislocation of sport-fishery workers and assets;
• restoring and protecting wildlife habitat for birds and waterfowl for naturalists and hunters to enjoy; and,
• removing contaminated sediment in areas of high concern to reclaim communities and increase property values.

In addition to University of Michigan personnel, experts from U.S. Geological Survey, Great Lakes Science Center; University of Toronto; URS Corporation; International Joint Commission; Great Lakes Commission; McMaster University; NOAA Great Lakes Environmental Research Lab; Michigan State University; National Wildlife Federation; Michigan Department of Environmental Quality; USGS Michigan Water Science Center; NOAA Center for Great Lakes and Human Health; Michigan Sea Grant; University of Windsor; Michigan Department of Natural Resources; Pennsylvania Sea Grant; US EPA Great Lakes National Program Office; and US EPA Region V. contributed to the report.

• News Release: Announcement press release
• In-depth Study: America's North Coast: A Benefit-Cost Analysis of a Program to Protect and Restore the Great Lakes
• Summary Report of Major Findings: Healthy Waters, Strong Economy