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The Amenity Value of Agricultural Landscape and Rural-Urban Land Allocation

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  • Fleischer, Aliza
  • Tsur, Yacov

Abstract

We analyze rural-urban land allocation in light of the increasing environmental role of agricultural landscape. The amenity value of farmland varies across crops and as a result affects the optimal crop mix in addition to its effect on rural-urban land allocation. Investigating the effects of population and income growth processes, we find that, contrary to market outcomes, the socially optimal allocation may call for more farmland preservation under both processes. In an empirical application to a region in Israel we find that the extent of market undersupply of farmland is substantial and that population growth calls for more farmland preservation at the expense of urban land.

Suggested Citation

  • Fleischer, Aliza & Tsur, Yacov, 2004. "The Amenity Value of Agricultural Landscape and Rural-Urban Land Allocation," Discussion Papers 289989, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.
    • Handle: RePEc:ags:huaedp:289989
    DOI: 10.22004/ag.econ.289989
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    2. Banzhaf, H. Spencer, 2009. "Economics at the Fringe: Non-Market Valuation Studies and their Role in Land Use Plans in the United States," MPRA Paper 101193, University Library of Munich, Germany.
    3. Rotem Zelingher & Andrea Ghermandi & Enrica Cian & Malcolm Mistry & Iddo Kan, 2019. "Economic Impacts of Climate Change on Vegetative Agriculture Markets in Israel," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(2), pages 679-696, October.
    4. Bockarjova, Marija & Botzen, Wouter J.W. & Koetse, Mark J., 2020. "Economic valuation of green and blue nature in cities: A meta-analysis," Ecological Economics, Elsevier, vol. 169(C).
    5. Yerushalmi, Erez, "undated". "Measuring the administrative water allocation mechanism and agricultural amenities," Economic Research Papers 270633, University of Warwick - Department of Economics.
    6. Lijing Tang & Dongyan Wang, 2018. "Optimization of County-Level Land Resource Allocation through the Improvement of Allocation Efficiency from the Perspective of Sustainable Development," IJERPH, MDPI, vol. 15(12), pages 1-19, November.
    7. Mark Brady & Konrad Kellermann & Christoph Sahrbacher & Ladislav Jelinek, 2009. "Impacts of Decoupled Agricultural Support on Farm Structure, Biodiversity and Landscape Mosaic: Some EU Results," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(3), pages 563-585, September.
    8. Carmelo Picone & Roberto Henke & Myriam Ruberto & Emilio Calligaris & Raffaella Zucaro, 2021. "A Synthetic Indicator for Sustainability Standards of Water Resources in Agriculture," Sustainability, MDPI, vol. 13(15), pages 1-18, July.
    9. Anastasija Novikova & Lucia Rocchi & Bernardas Vaznonis, 2019. "Valuing Agricultural Landscape: Lithuanian Case Study Using a Contingent Valuation Method," Sustainability, MDPI, vol. 11(9), pages 1-13, May.
    10. Salm, J.A. Papineau & Bočkarjova, Marija & Botzen, W.J.W. & Runhaar, H.A.C., 2023. "Citizens' preferences and valuation of urban nature: Insights from two choice experiments," Ecological Economics, Elsevier, vol. 208(C).
    11. Feitelson, Eran & Horowitz-Harel, Anat & Levin, Noam & Mintz, Zvi & Steenekamp, Guy & Zaban, Shaul, 2021. "Haste makes waste: On the implications of rapid planning in Israel," Land Use Policy, Elsevier, vol. 103(C).
    12. Gosens, Tom & Rouwendal, Jan, 2018. "Nature-based outdoor recreation trips: Duration, travel mode and location," Transportation Research Part A: Policy and Practice, Elsevier, vol. 116(C), pages 513-530.
    13. Mara Thiene & Yacov Tsur, 2013. "Agricultural Landscape Value and Irrigation Water Policy," Journal of Agricultural Economics, Wiley Blackwell, vol. 64(3), pages 641-653, September.
    14. Yerushalmi, Erez, 2018. "Using Water Allocation in Israel as a Proxy for Imputing the Value of Agricultural Amenities," Ecological Economics, Elsevier, vol. 149(C), pages 12-20.
    15. Jonathan Kaminski & Iddo Kan & Aliza Fleischer, 2013. "A Structural Land-Use Analysis of Agricultural Adaptation to Climate Change: A Proactive Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 95(1), pages 70-93.
    16. Tsur, Yacov, 2020. "Optimal water pricing: Accounting for environmental externalities," Ecological Economics, Elsevier, vol. 170(C).
    17. Steren, Aviv & Slater, Yehuda & Rubin, Ofir D. & Fleischer, Aliza & Kan, Iddo, 2025. "Toward sustainable practices in photovoltaic and agricultural greenhouse systems: An ecosystem services framework," Energy Economics, Elsevier, vol. 144(C).
    18. Yanay Farja & Mariusz Maciejczak, 2021. "Economic Implications of Agricultural Land Conversion to Solar Power Production," Energies, MDPI, vol. 14(19), pages 1-15, September.
    19. Kan, Iddo & Haim, David & Rapaport-Rom, Mickey & Shechter, Mordechai, 2009. "Environmental amenities and optimal agricultural land use: The case of Israel," Ecological Economics, Elsevier, vol. 68(6), pages 1893-1898, April.

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