Factors Influencing Kansas Agricultural Farm Land Values

Capitalization of the Single Payment Scheme into Land Value: Generalized Propensity Score Evidence from the European Union

“…For example, in many southern E.U. regions, farmland transactions depend on the relationship between landlord and tenants and occur mainly between relatives or socially close neighbors, eventually resulting in lower land prices (Siles et al 2000;Robison, Myers, and Siles 2002;Tsoodle, Golden, and Featherstone 2006). In our analysis, we were not able to account for all factors related to social capital and informal rural institutions, as reliable data to measure them are not available.…”

“…In many regions land transactions depend on the relationship between the parties (e.g., between landlord and tenants) involved and occur mainly between relatives or neighbors (Patterson, Hanson, and Robison 1998;Siles et al 2000). According to estimates from the literature, this group may receive a rebate on the land price ranging from 10% (Robison, Myers, and Siles 2002) to 43% (Tsoodle, Golden, and Featherstone 2006), compared to competitive markets. According to Tsoodle, Golden, and Featherstone (2006), the influence of social capital has increased over recent years.…”

“…In addition, the variation in the capitalization rate (given that the SPS is correlated with regional productivities) could also be due to regional segmentation of land markets and strong importance of local factors determining price formation (e.g., social and cultural norms and institutions). The variation in these factors may have resulted in differentiated responses of land rents to the SPS across regions (Siles et al 2000;Rainey et al 2005;Tsoodle, Golden, and Featherstone 2006).…”

“…Further important factors that impact the actual SPS capitalization include various rigidities and region-specific aspects, such as credit market imperfections, social capital, and formal and informal land market institutions (Patterson, Hanson, and Robison 1998;Robison, Myers, and Siles 2002;Rainey et al 2005;Siles et al 2000;Tsoodle, Golden, and Featherstone 2006;Ciaian, Kancs, and Swinnen 2010). These factors may play a prominent role in determining the functioning of rental markets, as a result of which competitive pressures might be distorted or/and might not take full and immediate effect in such a setting (Gardner 2002).…”

Dealing with private property for public purposes : an interdisciplinary study of land transactions from a micro-scale perspective

“…Financial gain, or price, is not the only exchange mechanism employed during land transactions. Non-financial aspects, such as the personal relationship between buyers and sellers, and landowners' attachment to their land, also influence the terms and conditions of the selling process (Dijk, 2003;Grubbström, 2011;Kostov, 2010;Perry and Robison, 2001;Tsoodle et al, 2006). Various authors have argued that the dominant, neo-classical approach towards the land market fails to explain the mechanisms that influence land transactions.…”