Effect of Urban Proximity on Agricultural Land Values

Abstract

This article seeks to more accurately estimate the size and distance of the effect of urban proximity on agricultural land values. The econometric model lets the size and distance of the effect of urban proximity on agricultural land values vary by population, real income, and time. The changes in the effect of urban proximity over time can be largely explained by population and income. Thus, there does not appear to be a shift in preferences toward living further from the city center. <i>(JEL Q15, R14)</i>