Sept. 13, 2010
The market for agricultural real estate has historically been what observers call a “thin market,” in that very little is marketed and changes ownership at any given point in time. In fact, even when there is spirited buying interest and willingness to bid aggressively, the supply side of the market for agricultural land tends to be inelastic — in that the percentage change in quantity put on the market is much less that the percentage increase in bid prices.
Read the rest of this week's Cornhusker Economics column by Bruce Johnson, UNL professor of agricultural economics, at http://www.agecon.unl.edu/Cornhuskereconomics/9-8-10.pdf. Also, view previous Cornhusker Economics.
