Location
Parker-Reed, SSWAC
Start Date
30-4-2015 9:00 AM
End Date
30-4-2015 10:55 AM
Project Type
Poster
Description
Farmland prices in the American Midwest are finally starting to come off of a historic bull-market run that is seen in many counties that make up District 7 of the Federal Reserves Bank (the Chicago Fed) skyrocket to well in excess of ,000 per acre. In our analysis we look at how much control different variables had on the sharp uptick in farmland prices that was experience in the late-2000's. We have compiled data from 1970 through Q4 of 2014 that came from the Chicago Fed (county-level and regional average farmland prices and agricultural loan interest rates), the USDA (figures on seasonal per-acre yields and the marginal costs associated with growing an acre of a crop) and the Chicago Mercantile Exchange (commodity crop futures prices). Focus will be put on three of the most important staple commodity crops to the American ag sector, #2 dent corn, soybeans and wheat. Each of these crops has a very different market and represent different global economic trends, as corn is principally used for biofuel and ethanol production, soybeans for livestock feed and wheat for human consumption. We will run several hypothesis tests to find the most significant parameters that and control and may forecast farmland prices.
Faculty Sponsor
Daniel LaFave
Sponsoring Department
Colby College. Economics Dept.
CLAS Field of Study
Social Sciences
Event Website
http://www.colby.edu/clas
ID
1562
Included in
Controls on Farmland Prices in the Midwestern United States, a time-series Econometric Analysis from 1970-2014
Parker-Reed, SSWAC
Farmland prices in the American Midwest are finally starting to come off of a historic bull-market run that is seen in many counties that make up District 7 of the Federal Reserves Bank (the Chicago Fed) skyrocket to well in excess of ,000 per acre. In our analysis we look at how much control different variables had on the sharp uptick in farmland prices that was experience in the late-2000's. We have compiled data from 1970 through Q4 of 2014 that came from the Chicago Fed (county-level and regional average farmland prices and agricultural loan interest rates), the USDA (figures on seasonal per-acre yields and the marginal costs associated with growing an acre of a crop) and the Chicago Mercantile Exchange (commodity crop futures prices). Focus will be put on three of the most important staple commodity crops to the American ag sector, #2 dent corn, soybeans and wheat. Each of these crops has a very different market and represent different global economic trends, as corn is principally used for biofuel and ethanol production, soybeans for livestock feed and wheat for human consumption. We will run several hypothesis tests to find the most significant parameters that and control and may forecast farmland prices.
https://digitalcommons.colby.edu/clas/2015/program/12