Environmental

Alaska's tundra fires can affect real estate by:

AIncreasing property values through land clearing
BDestabilizing permafrost and altering drainage patterns, creating long-term land use challenges✓ Correct
COnly creating temporary cosmetic damage
DHaving no lasting impact on land values

Explanation

Tundra fires burn the organic layer that insulates permafrost. When that layer is removed, permafrost can thaw more rapidly, causing ground subsidence, altered drainage, and other long-term land stability issues. These effects can significantly impact the value and usability of affected properties.

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