ANALYSIS OF ALTERNATIVE PAYMENT DESIGNS FOR FARMLAND DEVELOPMENT RIGHTS

Four alternative payment rules were examined to evaluate their ability to accomplish the objectives of the development rights purchase program. Paying the true economic value for the development rights does not allow the program to target high quality agricultural land. Modifying the payment strategy by offering a minimum payment will provide some extra incentive for high quality agricultural land in areas with little development pressure, but will provide little help in areas with high development pressure. Indexing the payment to a representative agricultural-use value for an area will provide premiums to high quality agricultural land and discounts to low quality agricultural land which provides additional incentives (disincentives) for high (low) quality land to enter the program. This representative payment rule can be modified in order to increase the participation incentives to owners of targeted land.Land Economics/Use,

2002 MICHIGAN LAND VALUES

Land Economics/Use,

1998 MICHIGAN LAND VALUES

Land Economics/Use,

2000 MICHIGAN LAND VALUES

Land Economics/Use,

IMPACTS OF SOCIAL CAPITAL ON INVESTMENT BEHAVIOR UNDER RISK

Implicit in most applications of the expected utility (EU) model is the assumption that only the decision maker's own income matters. Moreover, studies that estimate risk preferences typically measure how individuals respond to changes in the level and likelihood of having their own income altered (Young). The focus on own income in the EU model is consistent with the assumption most often applied in the neoclassical economic paradigm; namely, that the identity of participants in an economic exchange does not affect the outcome (Telser and Higinbotham).Institutional and Behavioral Economics, Risk and Uncertainty,

SOCIAL CAPITAL AND RISK RESPONSES

The economic well-being of economic agents is assumed to be interpersonally dependent. The extent of this interpersonal dependency varies according to the strength of relationships, values, and social bonds and is measured using social capital coefficients in a neoclassical model in which agents with stable preferences maximize utility. The model's predictions are tested empirically by asking agents how their willingness to bear a risk is altered when their refusal to accept the risk increases the risk faced by others.Institutional and Behavioral Economics, Risk and Uncertainty,

SOCIAL CAPITAL AND ECONOMIC COOPERATION

The socioeconomic movement is an effort to better explain human behavior by combining insights of economists and sociologists. This paper contributes to the socioeconomic literature by including the influence of relationships, values, and social bonds in the neoclassical economic model by introducing social capital coefficients. The usefulness of the resulting social capital model is demonstrated theoretically in a two-firm cooperative model and tested empirically using data from a survey of students who allocate their time between individual and joint projects.Social capital, Social capital coefficients, Total revenue-equity frontier, Institutional and Behavioral Economics,

CHARACTERISTICS OF FARMLAND LEASING IN THE NORTH CENTRAL UNITED STATES

Leasing behavior differs across the North Central United States. Survey data is used to characterize leasing activity in the region. Data is collected on the amount of leased farmland, amount of cash and share leased land, and common output share levels. Factors influencing leasing and arrangements are also identified.Land Economics/Use,