If property rights are clearly delineated, then the owner of the wheat field will consider the change in the land’s value in the real estate market when determining whether to grow wheat, construct apartment buildings or sell the land to the mining company. In practice, of course, it is more accurate to say that the owner will internalise only some of the costs. For instance, the land owner will not consider the costs of a road that will be built to the plant that will subsequently destroy a breeding ground for an endangered forest bird.