Hedonic analysis of farmland prices: the case of Aragon
A hedonic approach is used to study farmland prices in Aragon (Spain). Data over 450 transactions in 33 shires, in 2001 and 2002 are analysed. The marginal values for irrigated vs. non-irrigated land, the productive orientation and the differentiation of production through a Designation of Origin (D.O.) are used as explanatory variables. Socio-economic variables are also included. A Box-Cox transformation is specified to get the most appropriate functional form. The results indicate that water availability, the crop orientation, and the eligibility within a D.O. are the key factors affecting farmland prices, while the social environment and infrastructure has a minor impact.
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Volume (Year): 6 (2007)
Issue (Month): 1 ()
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