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An Examination of the Relationship Between Net Crop Returns and Cash Rent Values in Indiana

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  • Carson, Nathaniel
  • Langemeier, Michael

Abstract

This paper examined the relationship between cash rent and net crop returns for Indiana. As expected, there was a significant and positive relationship between net crop returns and cash rent values. The relatively low coefficients on lagged net crop returns in the cash rent equations reinforces the existing literature that asserts that cash rent values are sticky. As a result, the recent decline in net crop returns in Indiana will not be fully realized for several years.

Suggested Citation

  • Carson, Nathaniel & Langemeier, Michael, 2017. "An Examination of the Relationship Between Net Crop Returns and Cash Rent Values in Indiana," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252768, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea17:252768
    DOI: 10.22004/ag.econ.252768
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    References listed on IDEAS

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    1. Allen M. Featherstone & Timothy G. Baker, 1988. "Effects of Reduced Price and Income Supports on Farmland Rent and Value," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 10(2), pages 177-189.
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    Keywords

    Agribusiness; Agricultural Finance; Financial Economics; Land Economics/Use;
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