A conceptual partial equilibrium model of global agricultural land use

• We introduce a conceptual partial equilibrium model of global agricultural land use, based on heterogenous land quality--an area that has received less theoretical attention than location theory. The model is based on maximization of land rent at each parcel through choice of crop and input intensity. Mechanisms of land rent and land-use competition are illustrated in a transparent way, which can be used for e.g. policy testing and for improved understanding of results from larger land-use models. A strength with this approach is that the model to a large extent can be analytically explored. We show how different crops are optimally distributed on land according to their respective area-dependent cost, i.e. costs paid per area regardless of yield. Crops with high such costs are grown on more productive land and crops with low such costs are grown on less productive land, in equilibrium. The equilibrium solution of the model is unique. Further we show how prices are connected between crops that compete for land.

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Ekonomisk historia (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Economic History (hsv//eng)

LANTBRUKSVETENSKAPER  -- Annan lantbruksvetenskap -- Förnyelsebar bioenergi (hsv//swe)

AGRICULTURAL SCIENCES  -- Other Agricultural Sciences -- Renewable Bioenergy Research (hsv//eng)

TEKNIK OCH TEKNOLOGIER  -- Naturresursteknik -- Energisystem (hsv//swe)

ENGINEERING AND TECHNOLOGY  -- Environmental Engineering -- Energy Systems (hsv//eng)

Keyword

land-use competition

bioenergy

land rent

land use

agricultural land

partial equilibrium model

price effects

food price

Ricardian rent

Publication and Content Type

art (subject category)

vet (subject category)