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Impacts of Agri-Environmental Policies on Land Allocation and Prices

Herve Guyomard, Jussi Lankoski () and Markku Ollikainen

No 24466, 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark from European Association of Agricultural Economists

Abstract: We used Ricardian framework with heterogeneous land quality to analyse how policies used to support farm incomes, reduce negative agri-environmental externalities and enhance the provision of positive externalities influence land allocation decisions and land prices. Four agri-environmental policy instruments are considered: a uniform area payment, a quality-dependent area payment, a mandatory buffer strip policy and a voluntary buffer strip payment. We also analyse how general tax and monetary policies may affect agricultural land prices. The theoretical framework is illustrated by an application to Finnish agriculture.

Keywords: Agricultural and Food Policy; Environmental Economics and Policy; Labor and Human Capital (search for similar items in EconPapers)
Pages: 17
Date: 2005
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Persistent link: https://EconPapers.repec.org/RePEc:ags:eaae05:24466

DOI: 10.22004/ag.econ.24466

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