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Farmland Ownership Policy: Technical Paper

Author

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  • Bell, Peter N

Abstract

In this paper I develop a theoretical model to analyze policy that restricts who can own land. I briefly review research related to such policy in Saskatchewan, Canada, and identify a standard supply-demand model that I extend in several ways. First, I replicate results for how policy affects prices and develop new results for how policy affects social welfare using comparative statics. Second, I extend the model to a dynamic setting where demand curves change over time and show that policy can affect price changes in variety of ways, which I refer to as comparative dynamics. Third, I conduct a series of simulations to compare my model and a standard model. I establish stylistic facts about data on price levels, differences, and ratios generated by the different models.

Suggested Citation

  • Bell, Peter N, 2014. "Farmland Ownership Policy: Technical Paper," MPRA Paper 53185, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:53185
    as

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    File URL: https://mpra.ub.uni-muenchen.de/53185/5/MPRA_paper_53185.pdf
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    References listed on IDEAS

    as
    1. Shon Ferguson & Hartley Furtan & Jared Carlberg, 2006. "The political economy of farmland ownership regulations and land prices," Agricultural Economics, International Association of Agricultural Economists, vol. 35(1), pages 59-65, July.
    2. Bell, Peter N, 2014. "Farmland Ownership Restrictions: Between a Rock and a Hard Place," MPRA Paper 53033, University Library of Munich, Germany.
    3. Carlberg, Jared G., 2002. "Effects of Ownership Restrictions on Farmland Values in Saskatchewan," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 34(2), pages 349-358, August.
    4. Carlberg, Jared G., 2002. "Effects Of Ownership Restrictions On Farmland Values In Saskatchewan," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 34(2), pages 1-10, August.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Farmland; ownership; policy; demand and supply; comparative statics; comparative dynamics; simulation;
    All these keywords.

    JEL classification:

    • C00 - Mathematical and Quantitative Methods - - General - - - General
    • D00 - Microeconomics - - General - - - General
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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