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Rising Farmland Values: An Indicator of Regional Economic Performance or a Speculative Bubble?

Author

Listed:
  • Blank, Steven
  • Erickson, Kenneth
  • Hallahan, Charles

Abstract

Farmland values have recently increased dramatically in the Midwest, attracting investors from outside of agriculture and causing many inside agriculture to question whether a speculative bubble has formed. This article addresses that question by presenting an economic by presenting an economic assessment of the facts related to farmland values across regions of the United States to give a more complete outlook for Midwestern farmland prices. After presenting an analysis of farmland values, this article concludes with discussion of some often-ignored factors that should be at the center of the current debate.

Suggested Citation

  • Blank, Steven & Erickson, Kenneth & Hallahan, Charles, 2012. "Rising Farmland Values: An Indicator of Regional Economic Performance or a Speculative Bubble?," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2012, pages 1-11.
    • Handle: RePEc:ags:jasfmr:190724
    DOI: 10.22004/ag.econ.190724
    as

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    File URL: https://ageconsearch.umn.edu/record/190724/files/366_Blank.pdf
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    References listed on IDEAS

    as
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    2. Howitt, Richard E. & MacEwan, Duncan & Medellin-Azuara, Josue & Ziolkowska, Jadwiga & Simon, Leo & Heiman, Amir & Lowengart, Oded & Zilberman, David & Amir, Maayan Klachman, 2011. "Agricultural and Resource Economics Update," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt4fp7s3fx, Department of Agricultural & Resource Economics, UC Berkeley.
    3. Kuethe, Todd H. & Ifft, Jennifer & Morehart, Mitchell J., 2011. "The Influence Of Urban Areas On Farmland Values," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 26(2), pages 1-7.
    4. Lee, Hyunok & Sumner, Daniel A. & Martin, Philip & Hochman, Gal & Rajagopal, Deepak & Zilberman, David, 2011. "Agricultural and Resource Economics Update," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt7bs3z5fb, Department of Agricultural & Resource Economics, UC Berkeley.
    5. Flanders, Archie & White, Fred C. & Escalante, Cesar L., 2004. "Equilibrium of Land Values from Agricultural and General Economic Factors for Cropland and Pasture Capitalization in Georgia," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 22(1), pages 1-12.
    6. Gloy, Brent A. & Boehlje, Michael & Dobbins, Craig L. & Hurt, Christopher & Baker, Timothy G., 2011. "Are Economic Fundamentals Driving Farmland Values?," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 26(2), pages 1-6.
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