Potential impacts of alternative energy situations on land use and values

Dramatic changes in the energy sector during the 1970's with respect to energy price have required adjustments in all other sectors of the economy. The agricultural sector has experienced direct as well as indirect effects of increased energy prices. In this study, the potential impacts of increased energy prices and reduced supply of energy in the farm sector, on farm land use, and its shadow prices are analyzed. The impacts on dryland use and irrigated land use are compared, as irrigated farming is more energy intensive compared to dryland farming.