Urban Sprawl and Farmland Prices
AbstractA theoretical model of farmland valuation is developed that allows urban sprawl to affect farmland values through the conversion of farmland to urban uses, shifts in production to higher-valued crops, and the speculative effect of urban pressure on farmland values. This model is estimated using county level data in the continental United States. Evidence is found for all three effects of urban sprawl on farmland values, with a significant contribution of urban pressure on net agricultural returns around major urban centers. Ancillary evidence supports that the latter effect is attributable to shifts to high-valued crops.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University of Florida, International Agricultural Trade and Policy Center in its series Working Papers with number 15657.
Date of creation: 2005
Date of revision:
hedonic determinants; land prices; spatial productivity; urban sprawl; Land Economics/Use; R14; Q15; D24; C33;
Find related papers by JEL classification:
- R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
- Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
- C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Capozza, Dennis R. & Helsley, Robert W., 1989. "The fundamentals of land prices and urban growth," Journal of Urban Economics, Elsevier, vol. 26(3), pages 295-306, November.
- Plantinga, Andrew & Lubowski, Ruben & Stavins, Robert, 2002.
"The Effects of Potential Land Development on Agricultural Land Prices,"
Working Paper Series
rwp02-012, Harvard University, John F. Kennedy School of Government.
- Plantinga, Andrew J. & Lubowski, Ruben N. & Stavins, Robert N., 2002. "The effects of potential land development on agricultural land prices," Journal of Urban Economics, Elsevier, vol. 52(3), pages 561-581, November.
- Stavins, Robert & Plantinga, Andrew & Lubowski, Ruben, 2002. "The Effects of Potential Land Development on Agricultural Land Prices," Discussion Papers dp-02-11-, Resources For the Future.
- Richard Arnott & Frank D. Lewis, 1977.
"The Transition of Land to Urban Use,"
267, Queen's University, Department of Economics.
- Capozza, Dennis R. & Helsley, Robert W., 1990. "The stochastic city," Journal of Urban Economics, Elsevier, vol. 28(2), pages 187-203, September.
- Kelejian, Harry H. & Prucha, Ingmar R., 2004. "Estimation of simultaneous systems of spatially interrelated cross sectional equations," Journal of Econometrics, Elsevier, vol. 118(1-2), pages 27-50.
- Ian W. Hardie & Tulika A. Narayan & Bruce L. Gardner, 2001. "The Joint Influence of Agricultural and Nonfarm Factors on Real Estate Values: An Application to the Mid-Atlantic Region," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(1), pages 120-132.
- Mendelsohn, Robert & Nordhaus, William D & Shaw, Daigee, 1994. "The Impact of Global Warming on Agriculture: A Ricardian Analysis," American Economic Review, American Economic Association, vol. 84(4), pages 753-71, September.
- J. S. Shonkwiler & J. E. Reynolds, 1986. "A Note on the Use of Hedonic Price Models in the Analysis of Land Prices at the Urban Fringe," Land Economics, University of Wisconsin Press, vol. 62(1), pages 58-63.
- Lahiri, Kajal & Schmidt, Peter, 1978. "On the Estimation of Triangular Structural Systems," Econometrica, Econometric Society, vol. 46(5), pages 1217-21, September.
- Zakrzewicz, Christopher J. & Brorsen, B. Wade & Briggeman, Brian C., 2011.
"Comparison of Alternative Sources of Farmland Values,"
2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania
103758, Agricultural and Applied Economics Association.
- Christopher Zakrzewicz & B. Wade Brorsen & Brian C. Briggeman, 2012. "Comparison of alternative sources of farmland values," Agricultural Finance Review, Emerald Group Publishing, vol. 72(1), pages 68-86, March.
- Reed, L.L. & Kleynhans, Theo E., 2009. "Agricultural land purchases for alternative uses â€“ evidence from two farming areas in the Western Cape province, South Africa," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 48(3), September.
- Thomas Coisnon & Walid OUESLATI & Julien Salanié, 2012. "Agri-environmental policy and urban sprawl patterns: A general equilibrium analysis," Working Papers halshs-00753221, HAL.
- Zhang, Wendong & Irwin, Elena G. & Nickerson, Cynthia J., 2012. "The Expanding Ethanol Market and Farmland Values: Identifying the Changing Influence of Proximity to Agricultural Delivery Points," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124690, Agricultural and Applied Economics Association.
- Henderson, Jason R. & Gloy, Brent A., 2008. "The Impact of Ethanol Plants on Cropland Values in the Great Plains," Working Papers 51080, Cornell University, Department of Applied Economics and Management.
- Henderson, Jason R. & Gloy, Brent A., 2008. "The Impact of Ethanol Plants on Land Values in the Great Plains," Proceedings: 2007 Agricultural and Rural Finance Markets in Transition, October 4-5, 2007, St. Louis, Missouri 48148, Regional Research Committee NC-1014: Agricultural and Rural Finance Markets in Transition.
- Thomas Coisnon & Walid Oueslati & Julien Salanié, 2014.
"Spatial targeting of agri-environmental policy and urban development,"
- Thomas Coisnon & Walid Oueslati & Julien Salanié, 2014. "Spatial targeting of agri-environmental policy and urban development," Working Papers 1401, Groupe d'Analyse et de Théorie Economique (GATE), Centre national de la recherche scientifique (CNRS), Université Lyon 2, Ecole Normale Supérieure.
- Thomas Coisnon & Walid OUESLATI & Julien Salanié, 2013. "Spatial targeting of agri-environmental policy and urban development," Working Papers halshs-00795815, HAL.
- Bell, Kathleen P. & Dalton, Timothy J., 2006.
"Spatial Economic Analysis in Data-Rich Environments,"
2006 Annual Meeting, August 12-18, 2006, Queensland, Australia
25241, International Association of Agricultural Economists.
- Kathleen P. Bell & Timothy J. Dalton, 2007. "Spatial Economic Analysis in Data-Rich Environments," Journal of Agricultural Economics, Wiley Blackwell, vol. 58(3), pages 487-501, 09.
- Pierre Wavresky & Mohamed Hilal & Jean Cavailhès, 2011. "L’influence urbaine sur le prix des terres agricoles et ses conséquences pour l’agriculture," Économie et Statistique, Programme National Persée, vol. 444(1), pages 99-125.
- Sugiyanto, Catur & Nugroho, Dwi, 2011. "Konversi Lahan dan Pilihan Petani," MPRA Paper 28753, University Library of Munich, Germany.
- Blank, Steven C. & Erickson, Kenneth W. & Nehring, Richard F. & Hallahan, Charles B., 2006. "Agricultural Profits and Farm Household Wealth: A Farm-level and Cross-sectional Analysis," 2006 Annual meeting, July 23-26, Long Beach, CA 21436, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Blank, Steven C. & Erickson, Kenneth W. & Nehring, Richard F. & Hallahan, Charles B., 2009. "Agricultural Profits and Farm Household Wealth: A Farm-level Analysis Using Repeated Cross Sections," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 41(01), April.
- Jean CavailhÃ‹s & Isabelle Thomas, 2011. "The influence of urban sprawl on farmland prices in Belgium (refereed paper)," ERSA conference papers ersa10p1628, European Regional Science Association.
- Jason Henderson & Brent A. Gloy, 2008. "The impact of ethanol plants on cropland values in the Great Plains," Regional Research Working Paper RRWP 08-01, Federal Reserve Bank of Kansas City.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If references are entirely missing, you can add them using this form.