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A Spatial Simultaneous Growth Equilibrium Modeling of Agricultural Land Development in the Northeast United States

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  • Hailu, Yohannes G.
  • Brown, Cheryl

Abstract

This study aims to understand the relationship between regional growth in population, employment, and per capita income, and agricultural land values and development in the Northeast United States. A system of spatial simultaneous equations is estimated using three-stage-least squares on county level data. Results indicate that regional growth positively influences agricultural land values and negatively affects the stock of agricultural lands. Farm performance and some farmland protection policies were not effective in preserving farmland. The study recommends that agricultural land protection policies could be better coordinated at a regional level and more effective if integrated within state economic development programs.

Suggested Citation

  • Hailu, Yohannes G. & Brown, Cheryl, 2006. "A Spatial Simultaneous Growth Equilibrium Modeling of Agricultural Land Development in the Northeast United States," 2006 Annual meeting, July 23-26, Long Beach, CA 21082, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea06:21082
    DOI: 10.22004/ag.econ.21082
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    File URL: http://ageconsearch.umn.edu/record/21082/files/sp06ha05.pdf
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    References listed on IDEAS

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    3. Nickerson, Cynthia J. & Hellerstein, Daniel, 2003. "Protecting Rural Amenities Through Farmland Preservation Programs," Agricultural and Resource Economics Review, Cambridge University Press, vol. 32(1), pages 129-144, April.
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    Cited by:

    1. Hailu, Yohannes G. & Brown, Cheryl, 2007. "Regional Growth Impacts on Agricultural Land Development: A Spatial Model for Three States," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 36(1), pages 1-15, April.

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    Keywords

    Land Economics/Use;

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