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Predator or prey? Effects of farm growth on neighbouring farms

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  • Franziska Appel
  • Alfons Balmann

Abstract

We provide explorative insights on how farms which manage strong and successful growth affect farms in their neighbourhoods through spatial competition for land. The study is based on an exploratory analysis of repeated framed experiments within the business game FarmAgriPoliS (Appel & Balmann, Ecological Complexity, 40, 2019). In particular, we analyse the spatial influences of different behavioural clusters of farm managers. Our analysis finds that farms which manage strong growth substantially affect the development of farms in a spatial neighbourhood of some 10 km. Although the influence on the neighbourhood decreases with distance, the functional correlations of farm growth as well as exits are neither linear nor exponential, but eventually rather wave‐like. We further discuss the spatial interdependence of farms and the related overlaps of the predator–prey phenomenon with the phenomena of farms' path dependency and agricultural structural change. We conclude that along with farmers' strategies and their abilities, the characteristics of their neighbours and the distances between neighbouring farms also determine who is ‘predator’ and who is ‘prey’.

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  • Franziska Appel & Alfons Balmann, 2023. "Predator or prey? Effects of farm growth on neighbouring farms," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(1), pages 214-236, February.
    • Handle: RePEc:bla:jageco:v:74:y:2023:i:1:p:214-236
    DOI: 10.1111/1477-9552.12503
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    1. Appel, Franziska & Balmann, Alfons, 2023. "Predator or prey? Effects of farm growth on neighbouring farms," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 74(1), pages 214-236.

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