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Estimating the Contribution of Groundwater Irrigation to Farmland Values in Phillips County, Colorado

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  • Swanepoel, G.D.
  • Hadrich, Joleen
  • Goemans, Christopher

Abstract

Hedonic price analysis is applied to farmland sales in Phillips County, Colorado to examine trends in farmland values across different land types from 1999-2012. Results demonstrate that irrigated acres resulted in the highest farmland value while well depth decreased this value. The marginal value of an acre foot of water on irrigated farmland ranged from $3-$36 depending on well depth and the discount rate used. This highlights the potential long-term negative impacts that lowering groundwater tables have on agricultural enterprises that rely on wells for irrigation.

Suggested Citation

  • Swanepoel, G.D. & Hadrich, Joleen & Goemans, Christopher, 2015. "Estimating the Contribution of Groundwater Irrigation to Farmland Values in Phillips County, Colorado," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2015, pages 1-14.
    • Handle: RePEc:ags:jasfmr:233878
    DOI: 10.22004/ag.econ.233878
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