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The Relative Influences of Land-owner and Landscape Heterogeneity on Land Use

Author

Listed:
  • Hugh Kelley
  • Tom Evans

    (Department of Economics, National University of Ireland, Galway)

Abstract

To what extent are stakeholders’ land use decisions influenced by heterogeneous land-use preferences, spatial externalities, and heterogeneous suitability features? To explore this issue we develop and calibrate a heterogeneous-agent portfolio-theory model to the 1940-1993 Indiana land-use history. Calibration exercises demonstrate that our spatially explicit approach provides an accurate description of owners in our study area. Comparative statics simulations indicate that owners’ heterogeneous calibrated preference parameters marginally influence the landscape more than suitability and externality parameters. Policy simulations demonstrate that weaker multi-policy management strategies targeting heterogeneities and spatial interactions can be more effective than strong single-policy approaches.

Suggested Citation

  • Hugh Kelley & Tom Evans, 2009. "The Relative Influences of Land-owner and Landscape Heterogeneity on Land Use," Working Papers 0147, National University of Ireland Galway, Department of Economics, revised 2009.
    • Handle: RePEc:nig:wpaper:0147
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    File URL: http://www.economics.nuig.ie/resrch/paper.php?pid=154
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    File URL: http://www.economics.nuig.ie/resrch/paper.php?pid=154
    File Function: Revised version, 2009
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    More about this item

    Keywords

    Algorithmic Trading; MACD;

    JEL classification:

    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General

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