Economic evaluation of agricultural land to assess land use changes

Land-use models express the relationship between various driving forces of land-use changes and are increasingly employed in practical applications to predict possible future land uses. The relationship between the agricultural land market and land-use changes is often neglected in such models. The objective of this study is to assess the production values of agricultural land to be integrated in an operational land-use model with the aim to improve understanding of land-use changes in all 28 European Union countries. This economic evaluation of agricultural land is based on the Net Present Value (NPV) method, a method that aims at uncovering the operational production values of land rather than real estate market value. The scientific relevance of this work is the development of a comprehensive methodology for the economic evaluation of agricultural land uses in different EU countries, the integration of economic production values of land to the local suitability approach in the studied land-use model and the provision of a EU-wide database of the NPVs of agricultural land uses, including various energy crops.     

Economic development and farmland protection: An assessment of rewarded land conversion quotas trading in Zhejiang,China

Facing a substantial loss of farmland in the reform era, the Chinese central government established a highly centralized land management system in 1998 to guarantee its capacity to meet the domestic food needs. In order to maintain high-speed economic growth, local governments in China made great efforts to circumvent the stringent constraint on land use by launching various innovative land management schemes, among which Zhejiang's rewarded land conversion quotas (RLCQ) trading scheme, a program similar to the transfer of development rights (TDR) in Western countries, has attracted a lot of policy and scholarly attention. In this research, we first provide an overview of China's farmland protection policy and the RLCQ trading scheme in Zhejiang Province. Then, using the system GMM estimator for economic growth models and a panel dataset of 69 local jurisdictions in Zhejiang Province covering the period of 1989–2008, we assess the impacts of RLCQ trading on local economic growth. The empirical results corroborate our hypotheses that participation in land quota trading in general led to faster local economic growth, and that the trading had a stronger and more lasting impact on the economic growth of the quota buyers than on that of the sellers. The analysis suggests that in order to balance the competing goals of economic development and farmland protection, market-based land management tools have a good potential for further development in China and other countries confronting similar challenges.     

Conversion of agricultural and forest land to other purposes in the context of land protection: Evidence from Polish experience

The protection of agricultural land and forests is a relatively new concept in Poland, and it began with forest protection in the 1920s. The first regulations on the protection of agricultural land were introduced only in the 1960s. Agricultural land and forests received comprehensive protection pursuant to the provisions of the Act of 26 October 1977 on the protection of agricultural land, forests and land recultivation. This legal act set the foundations for the protection of farmland and forests in successive decades.The aim of this study was to determine the influence of farmland and forest protection on spatial planning and to highlight the loss of agricultural and forest land resulting from conversion to other purposes. Legal regulations pertaining to spatial planning and the protection of agricultural and land forests were analysed. The scale of the problem was identified, and future land-use types were forecast based on the data developed by Statistics Poland (GUS). The existing spatial plans (municipal master plan - MMP) were analysed to determine the conversion loss index (CLI) associated with the conversion of agricultural land and forests to other uses. Legal regulations pertaining to the protection of agricultural land and forests were also analysed, and the extent of the relevant conversion measures was determined. The study demonstrated that urban development and the inevitable urbanization of rural areas contribute to the loss of agricultural and forest land that are converted to other uses.     

Testing for regional convergence of agricultural land prices

The focus of this paper is on spatial market integration in agricultural land markets. We scrutinize the applicability of the law of one price to land markets and distinguish between absolute and relative versions of this “law”. Panel data unit root and stationarity tests are applied to land sale prices in the German state Lower Saxony. Three main clusters with different price developments are detected. Our results indicate that the law of one price holds only locally due to structural differences among regions.     

Zionism and agricultural land: National narratives,environmental objectives,and land policy in Israel

The 1990s saw two different and even contradictory trends in Israel. On the one hand, there was a substantial increase in environmental awareness, on the part of both the general public and decision-makers, that led to a change in the land use planning policy at the national level. On the other hand, the Israel Lands Council (ILC), the body empowered by law to shape the national land policy, made a series of decisions that severely violated the principle of preserving agricultural land and led to massive conversion of agricultural land and open space for commercial, industrial, and residential development. Thus the national land policy became incompatible with the land use planning policy and the rise in environmental awareness it reflected.     

International Real Estate Investment and Urban Development: An Analysis of Korean Activities in Hanoi,Vietnam

Foreign Direct Investment (FDI) has been recognised as a major influence upon urban development within emerging economies. As the focus of production shifted toward higher skills and advanced technologies, expatriate high-skilled employees of the Multinational Enterprises (MNEs) began to play a significant role in FDI projects and recipient cities begin to experience urban development associated with residential development and community services for the settlement of these expatriate staff. This research reports on the experience of Korean investment in real estate following earlier projects in manufacturing activity in the Hanoi Capital Region. Korean investors are currently the largest FDI source in Vietnam and Hanoi has been favoured by them. The purpose of this research is to examine that the urban impact of manufacturing FDI on a recipient city is magnified by its connections with Real estate FDI (RFDI) in a way that it spurs (1) intensified real estate development, (2) the creation of new urban cores, and (3) new commuting patterns. The clustering of Korea-specific residential development and service functions is a contribution to change in Hanoi. The Korean-built housing complexes have transplanted Korean-style housing design into gated communities and the residents continue their Korean life-styles with easy access to language-specific community facilities. This research sheds light on the coalescent nature of RFDI with overall FDI via flows of MNEs and expatriate staff that can generate direct and indirect spatial impacts at project, city and regional scales.     

The incidence of agricultural policy on the land market in Poland: Two-dimensional and multilevel analysis

Research has shown that the reform of the CAP which broke the link between subsidies and production (the decoupling reform) has had little effect on farmers’ demand for land under the SPS (Single Payment Scheme) system. For this reason, in the conditions of the SPS, there is petrifaction of the structure of agricultural land, and an upward trend in prices on the market for agricultural land should not be expected to continue in the long term. Under the conditions of the SAPS (Single Area Payment Scheme), which applies in the EU-12 new Member States, the position in the market for agricultural land is different. However, most research carried out in Europe relates to the SPS system, where marginal changes in the value of land are identified as a result of the incidence of agricultural policy, as well as quantitative and qualitative attributes of particular properties. Under SAPS, these issues have not been sufficiently investigated. The authors have attempted to fill that gap, constructing a two-dimensional and multilevel econometric model for land prices in a leading agricultural region of Poland based on a sample of 653 transactions in the years 2010–2013. The aim is to determine how policy, as well as various quantitative and qualitative features, including location factors, affect the prices of land under SAPS. The results indicate, among other things, the key importance of the functional type of rural areas – properties in agrotouristic areas gained 43% higher prices on average than those in agricultural areas. Another finding of interest is that LFA and agro-environmental payments decapitalise the value of land.     

An innovative means of urban land development: A case study of Trichur in India

Summary

For more than seven decades, several Indian states have used the plot reconstitution technique in managing urban land development. Recently, Kerala, a small southern state, has experimented with this technique for the first time in a scheme in Trichur. The Trichur experience is unique in that it incorporates significant innovations over a somewhat similar method of land readjustment which is widely practiced in the Asian‐Pacific region. Formulated for complete cost‐recovery, the Trichur project incorporates the active cooperation of the landowners and officials, and is a time‐bound programme to complete all land development and building construction works within six years of the finalization of the scheme proposals.

This paper attempts to explore the use of this innovative means of land development in Trichur with a view to assessing the potentiality and constraints in its use, and identifying critical areas where further refinements would be desirable. Based on fieldwork in the state and intensive interviews, the paper finds the Trichur experience to be of great importance as a viable strategy of urban land development and management. The paper concludes with some recommendations on legal and institutional aspects, and stresses the need for refinements in the scheme preparation and information dissemination for transferability and wider application of the technique.     

Who is affected: Influence of agricultural land on occupational choices of peasants in China

The effect of agricultural land on labour allocation between agricultural and non-agricultural sectors has profound policy implications for industrialization and urbanization. Using micro data from a nationally representative survey in China, this study attempts to examine how agricultural land affects rural people’s propensity to leave the farming sector and who is affected. We find that generally, land decreases the probability of taking a non-farming job and has a lock-in effect on rural labour. More interestingly, this effect exists among the middle-aged people (36–55 years old) and not among young people. A mechanism analysis shows that income from agricultural production explains part but not all of the land lock-in effect. Heterogeneity analyses from the perspectives of individual risk preference and village-level planting structure show that the land lock-in effect broadly exists. Finally, we use the IV method to address the potential endogeneity problem, and the main results are verified. We believe that the heterogeneity of the land lock-in effect between different age cohorts has important policy implications.     

A scale invariant model for the expansion of agricultural land and government spending on the agricultural sector

The expansion dynamics of the agricultural surface is a complex process, since it requires decisions among different actors under a multitude of socioeconomic and natural conditions, expectations, and risks. This paper shows that despite this complexity, and at odds with the intuition, the density of agricultural lands and the government spending to foster agriculture around a human settlement displays a simple power-law relationship regarding the distance to such a settlement. The theoretical proof of this relationship is based on theoretical and empirical findings made by several authors on the expansion of population centers, river networks, species and ecosystem’s distribution. The empirical proof is made by fitting a simple power-law model having as response variables: density of agricultural land; government spending coverage, and government spending per unit of agricultural surface, while the distance to the centroid settlement is used as independent variable. Results show that the scaling exponents of the power-law relationship estimated from those models, with data from rural settlements in Mexico, are similar statistically to the expected values from theoretical models for the three expansion processes tested. Three applications of the scale-invariant attribute characterizing the expansion process of agricultural lands are presented:

• i)monitoring agricultural activities at the territories;
• ii)a proxy to estimate the expected growth of the agricultural surface; and
• iii)a typology to characterize government assistance at local level.

     

Economic development, institutional change, and the political economy of agricultural protection An econometric study of Belgium since the 19th century

This empirical study uses 100 years of annual data on 11 agricultural commodities from Belgium to measure the impact of structural changes coinciding with economic development and changes in political institutions on agricultural protection. The analysis shows that changes in agricultural protection are caused by a combination of factors. Governments have increased protection and support to farmers when world market prices for their commodities fell, and vice versa, offsetting market effects on producer incomes. Other economic determinants were the share of the commodities in total consumer expenditures (negative effect) and in total output of the economy (positive effect). With Belgium a small economy, there was no impact of the trade position. Changes in political institutions have affected agricultural protection. Democratic reforms which induced a significant shift in the political balance towards agricultural interests, such as the introduction of the one‐man‐one‐vote system, led to an increase in agricultural protection. The integration of Belgian agricultural policies in the Common Agricultural Policy in 1968 coincided with an increase in protection, ceteris paribus. Both institutional factors, related to changes in access to and information about the decision‐making at the EU level, and structural changes in the agricultural and food economy may explain this effect.     

土地流转应维护农民利益 --四川成都农村土地流转调查分析

农民的相对弱势地位，农村土地集体化色彩的放大以及农村集体的异化，为地方政府甚至官员使得目前广泛推行的土地流转特别是借征用之名强制流转而忽视农民的利益，造成农民失去赖以生存的土地而只得到低补偿费用。文章提出归还农民的基本权利，加强依法行政，规范土地流转(征用)程序，完善监督机制，确保土地流转不伤害农民，在维持其正常生活(生存)的基础上合理、有效地进行土地征用和流转。     

Changes of livelihood due to land use shifts: A case study of Yanchang County in the Loess Plateau of China

Studies of land use policies are commonly based on the environmental impacts or on people's direct responses to the policies. However, research on the impact of policy implementation on people's livelihood and activities and the subsequent economic development of an area is incomplete. We selected Yanchang County as an example to track land use changes and their effects on the livelihood of the local population following the implementation of a new land use policy known as the Grain for Green Project (GGP). The data were collected from statistical yearbooks, questionnaire surveys, and satellite imagery from 1990, 2000, and 2008. We found that dramatic land use changes have occurred in Yanchang County. The vegetation coverage improved significantly from 1990 to 2008, as the grassland and forest areas increased from 44.1% to 60.1% and from 17.7% to 18.4% of the total land area, respectively. The cultivated land declined from 37.3% to 20.7%. With the agricultural area and grain production decreasing from 64 × 10³ tons to slightly over 20 × 10³ tons per year, an increasing number of local people sought employment in towns and cities. The non-farm income increased, and the local income structure shifted. Migrant and orchard worker income contributed the most to the balance of the total household income. We narrowed our focus to discuss how the GGP accelerated the changes in the participants’ lifestyles and what might be done to sustain the long-term effects of the GGP. While the GGP has brought about considerable environmental benefits, a comprehensive study of environmental–social systems is still needed to achieve a more efficient land use policy. The research results presented in this paper demonstrate that changes in land use and people's activities were triggered by policy changes. We aim to pave the way for studies on the “policy-land-use-social development” chain and to provide references for new policies.     

The intensity change of urban development land: Implications for the city master plan of Guangzhou,China

The Chinese economy has experienced substantial development over the last thirty years. This growth has resulted in an enormous expansion of China's urban areas and it has also led to a growing scarcity of land resources. Consequently, there is currently an urgent need to mitigate the conflict between the needs of growing urban areas and the shrinking supply of land resources. Understanding land-use intensity and its changes can provide important information to find mitigating measures for this conflict in the demand for land. Previous studies have found that increasing the utilization efficiency of land resources is one of the most effective ways to resolve this issue. This study focuses on the city of Guangzhou, which is an intensively developed megalopolis. A number of different data sources have been analyzed to find the characteristics and changes in urban land use in Guangzhou, including: Landsat data from 1979, 1990, 2000, and 2009; relative socioeconomic data from the Guangzhou statistic yearbooks; and the master plans of Guangzhou. The results indicate that the area of developed land has continued to increase. Urban development land intensity and its change were then explored using a Back Propagation neural network model of the city. Although the analysis revealed that urban development land did not have a higher intensity overall, it also showed that there was a sectional upward trend throughout the study period. Consequently, there is a potential to improve the land-use intensity of Guangzhou. A linear regression model was then adopted to explore the mechanism of land use change. The results reveal that rapid industrialization and urbanization have improved land-use intensity in Guangzhou. The per capita urban road area and per capita GDP show a strong relationship when compared with land-use intensity. Using the relative city master plans, the authors have argued that local government in Guangzhou has taken active steps to address land issues to promote the city's socioeconomic development; however, a scientific city master plan in the study area is still necessary to ensure the effective utilization of the city's limited land resources.     

Sustainable valuation of land for development. Adding value with urban planning progress. A Spanish case study

This article presents a valuation model of land for development in a sustainable way, based on the design and execution of urban planning. Using this method, one can obtain, at any given point in time, the added value progress of the urbanization process. For each year during the plan’s execution, the value of land has been estimated. The free cash-flow method was applied in order to estimate the land valuation of any given year. From the estimate for each of those years, and using regression analysis, the most suited value added function was obtained, for the increase of value across time up to the point of finalized, fully urbanized land. The results show that this is an exponential growth function, such that during the initial years the progress of valuation is slow, but it accentuates during final years of execution as the land becomes urbanized, at which point the land achieves maximum value.     

An agent-based learning-embedded model (ABM-learning) for urban land use planning: A case study of residential land growth simulation in Shenzhen,China

A forward-looking urban land use plan is crucial to a city’s sustainability, which requires a deep understanding of human-environment interactions between different domains, and modelling them soundly. One of the key challenges of modelling these interactions is to understand and model how human individuals make and develop their location decisions by learning that then shape urban land-use patterns. To investigate this issue, we have constructed an extended experience-weighted attraction learning model to represent the human agents’ learning when they make location decisions. Consequently, we propose and have developed an agent-based learning-embedded model (ABM-learning) for residential land growth simulation that incorporates a learning model, a decision-making model, a land use conversion model and the constraint of urban land use master plan. The proposed model was used for a simulation of the residential land growth in Shenzhen city, China. By validating the model against empirical data, the results showed that the site-specific accuracy of the model has been improved when embedding learning model. The analysis on the simulation accuracies has proved the argument that modelling individual-level learning matters in the agent’s decision model and the agent-based models. We also applied the model to predict residential land growth in Shenzhen from 2015 to 2035, and the result can be a reference for land-use allocation in detailed planning of Shenzhen. The ABM-learning is applicable to studying the past urban growth trajectory, aiding in the formulation of detailed residential land and public service facility planning and assessing the land use planning effectiveness.     

Optimal allocation of direct and embodied arable land associated to urban economy: Understanding the options deriving from economic globalization

Land resources do not flow directly but can be allocated as “embodied land” in goods and services during economic globalization. The term “embodied arable land” can help link local land allocation strategies to the global and national supply chains and trade activities, and suggest new lens in optimizing arable land allocation. China is facing a serious arable land shortage, especially in municipal administrative areas. Based on the nested input-output analysis (Nested IOA), this work takes Shanghai as an example, exploring the allocation of direct and embodied arable land of an urban economy within the process of economic globalization. The amount of embodied arable land associated with Shanghai economy is 6.09 Mha, broken down into local arable land use (0.20 Mha), domestic inflows (3.20 Mha) and foreign inflows (2.69 Mha). This area supports local final demand (4.32 Mha), domestic outflows (1.24 Mha) and foreign outflows (0.53 Mha). Land-related imbalances emerge in the study, namely the economy’s demand versus the city’s size, the arable land demand versus supply, and embodied arable land inflows versus outflows. Regarding the role of the urban economy in allocation of global arable land under economic globalization, on the one hand, Shanghai has intensively involved with a large amount of embodied foreign arable land resources, and has been heavy dependent on foreign embodied arable land; On the other hand, there is still large potential for Shanghai to take the opportunity of economic globalization for an optimal allocation of direct and embodied arable land. Policy suggestions on taking the opportunity of economic globalization for an optimal allocation of direct and embodied arable land are put forward.     

Agricultural land protection in China: a case study of local governance in Zhejiang Province

China's rapid economic development following the 1978 reforms has resulted in significant economic, social and environmental change. One consequence of this change has been the accentuation of an existing trend of agricultural land loss and degradation. Although the 1978 reforms and their impacts have been subjected to considerable scrutiny, relatively little research has been directed towards the relationship between the evolution of local government structures and practices and the implementation of agricultural land protection policies. This paper presents an analysis of this relationship in Huzhou Municipality, Zhejiang Province. Zhejiang Province is situated on the eastern seaboard and exhibited the highest average annual per capita growth in China between 1978 and 1995. Huzhou Municipality is a growth centre in the northern part of the province. A synthesis of the factual knowledge and perceptions of 40 key-informants suggests that despite the development of a comprehensive legal framework for agricultural land protection, the interpretation of policy at local levels continues to permit the loss of agricultural land (and attendant environmental costs) to be traded-off against increased economic growth. This suggests a need to re-evaluate the role of local levels of government in China with respect to agricultural land protection issues; to look as much at the ways policies are implemented as at policies themselves. The devolution of administrative responsibility in China and the increasing influence of powerful local economic interests will provide an impetus for such a re-focussing of research at local levels.     

Population growth,agricultural intensification,induced innovation and natural resource sustainability: An application of neoclassical growth theory

Using a simple neoclassical type growth model including both man-made and natural capital as inputs to production, the theoretical basis for a U-shaped relationship between agricultural intensification and farm household investment in renewable resource capital is established. As development of technology, infrastructure, or markets increase the relative return to investment in man-made capital over natural capital, resource depletion occurs as man-made capital is substituted for lower return natural capital. Once returns are equalized, both man-made and natural capital are accumulated. If labor and these forms of capital are complementary, the output effects outweigh the substitution effects in the long run, leading to net accumulation of natural as well as man-made capital as a result of such technological or market development. Population growth also induces investment in both man-made and natural resource capital in the long run by increasing their marginal products. However, population growth causes declining per capita levels of both natural and man-made capital and production per capita in the long run, if technology is fixed and decreasing returns to scale. The model thus supports the Boserupian argument of induced intensification and resource improvement, as well as the Malthusian argument of the impoverishing effects of population growth. However, population growth may also induce development of infrastructure, markets, and technological or institutional innovation by reducing the fixed costs per capita of these changes, though these developments may not occur automatically. Government policies can play a large role in affecting whether these potential benefits of population growth are realized. In addition, credit policies may reduce resource degradation caused by substitution of man-made for natural capital, by allowing farmers to accumulate man-made capital (such as fertilizers) without depleting their natural capital. Policies to internalize the external environmental costs of using man-made capital will reduce both types of capital and production, indicating a clear trade-off between addressing environmental concerns on the one hand and reducing poverty and promoting resource conservation investments on the other. By contrast, internalizing the external benefits of investments in resources increases wealth and production per capita in the long run. The ‘intertemporal externality’ due to a higher private than social rate of time preference does not justify interventions to promote investments in resource capital; rather it argues for the promotion of savings and investment in general.     

黑龙江省西部沙地农业经济可持续发展探讨——以泰来县为例

根据黑龙江省西部沙地农业在我国农业经济中的地位,具体分析了泰来县沙地农业经济可持续发展的抑制因子;针对这些障碍因素,提出了现阶段实现沙地农业经济可持续发展的战略措施及具体建议:探索治沙模式,改善生态环境;以市场为导向,发展特色农业带动农业产业结构调整;以生态农业为指导思想,大力推广和发展可持续农业;合理控制人口数量,提高人口素质,进行制度创新。