Document Type

Article

Publication Date

2021

Publication Title

Journal of the ASFMRA

Keywords

land economics, land use, agricultural finance

Abstract

In recent years, cash rent leases have become increasingly popular among farm landowners in Illinois. Since 1995, acres operated under cash rent leases have increased 44%, 105%, and 117% in northern, southern, and central Illinois, respectively, for farms enrolled in the Illinois Farm Business Farm Management (FBFM) Association. Using data collected from the United States Department of Agriculture (USDA) National Agricultural Statistics Service (NASS), Illinois FBFM Association, University of Illinois farmdoc, and Environmental Working Group (EWG), we examined the impact of multiple factors on farmland leasing choices. Results indicate that commodity prices, soybean revenue, government crop insurance expenditures, and commodity payments have influenced the increasing use of cash rent leases.

DOI

10.22004/ag.econ.322698

Included in

Agriculture Commons

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