Effects of Reduced Price and Income Supports on Farmland Rent and Value

Allen Featherstone and Timothy Baker ()

Review of Agricultural Economics, 1988, vol. 10, issue 2, 177-189

Abstract: Currently, there is a debate about the appropriate form of future farm policy. This paper analyzes the distribution of land prices under the 1985 programs and under a more market orientation. The problem was studied by using results from an econometric simulation model. Results suggest that by 1990, under average conditions, land prices under both the Market and the 1985 program scenarios could be near the long-run equilibrium levels of $1121 and $1296 per acre, respectively.

Date: 1988
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