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Farmland Prices in a Developing Economy: Some Stylised Facts and Determinants

Parmod Kumar, Basanta. K. Pradhan and A. Subramanian
Journal of International and Area Studies
Vol. 12, No. 2 (December 2005), pp. 93-113
Stable URL: http://www.jstor.org/stable/43107123
Page Count: 21
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Since scans are not currently available to screen readers, please contact JSTOR User Support for access. We'll provide a PDF copy for your screen reader.
Farmland Prices in a Developing Economy: Some Stylised Facts and Determinants
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Abstract

The study constructs a district and state level series of farmland prices using the village level data from MIMAP-India survey and identifies the major determinants of farmland prices. The estimates at micro level showed that density of population in the rural areas, food grain yield and distance from the nearest town were the major determinants of farmland prices. When macro variables were added at the All India level, it was found that density of rural population, road density and share of non-agriculture in GDP as well as in workforce affected farmland prices positively while rural poverty affected them adversely. The results appear to have implications for urban planning, industrial location and various government programs for rural development and poverty alleviation.

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