Determinants of agricultural land rent and its development in Czechia

Radek Zdenek, Jana Lososova, Tomas Mrkvicka

Abstract: The paper deals with the main factors influencing agricultural land rent and its development. We use our own sample survey data of agricultural farms complemented by the data from other sources. The sample contains 48 identical farms between 2011 – 2015 from the whole territory of the Czech Republic. The data were analysed with the mixed effect model. We investigated the influence of both agricultural and non-agricultural factors. Of the observed factors explaining the growth in land rent, the most important factor is time. Other significant agricultural factors are land share in the LFA, the area of utilised agricultural land, production orientation on crop production, livestock density and the share of rented land. Population density is the only significant non-agricultural factor.

Keywords: agricultural land; land rent; mixed-effect model

Date published: 2019-12-19