Proceedings

PR – AN EXAMINATION OF THE RELATIONSHIP BETWEEN CASH RENT AND NET RETURN TO LAND IN INDIANA

Langemeier, M., Carson, N.


Abstract:
This paper examined the relationship between cash rent and net return to land for Indiana.  There was a significant and positive relationship between cash rent and net return to land for medium and high productivity land. The relatively low coefficients on lagged net return to land in the cash rent equations reinforce the existing literature that asserts that cash rent values are sticky. As a result, the recent decline in the net return to land in Indiana will not be fully realized for several years.

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Author(s): Carson, N., Langemeier, M.

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Organizations(s): Purdue University