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Landowner Characteristics: A Basis for Locational Decisions in the Urban Fringe

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  • Charles H. Barnard
  • Walter R. Butcher

Abstract

Discontiguous urban growth is explained more by landowner characteristics than by parcel characteristics. Discriminant analysis of the sell/hold decisions of owners of undeveloped parcels demonstrated the greater importance of landowner characteristics in determining urban fringe sales. Sales, in turn, exhibit a high degree of association with development in the near term. These results suggest that discontiguous patterns of urban growth arise largely from the scattered availability of sites owned by persons with reservation prices below market value. Institutional constraints on development that rely on rent changes induced by subsidies and penalties will be ineffective.

Suggested Citation

  • Charles H. Barnard & Walter R. Butcher, 1989. "Landowner Characteristics: A Basis for Locational Decisions in the Urban Fringe," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(3), pages 679-684.
    • Handle: RePEc:oup:ajagec:v:71:y:1989:i:3:p:679-684.
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    File URL: http://hdl.handle.net/10.2307/1242023
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    Cited by:

    1. Batabyal, Amitrajeet A., 2004. "Endogenizing The Reservation Value In Models Of Land Development Over Time And Under Uncertainty," Economics Research Institute, ERI Series 28340, Utah State University, Economics Department.

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