Estimation Of Loss Of Excessive Land Conversion Based On Integrated Land Value

The rapid development of urbanization and industrialization must be accompanied by a large number of rural land requisition. Land Conversion changes urban and rural population structure, ecological environment and the structure of employment. On the one hand it can provide land elements of China’s rapid economic development, but on the other hand, excessive farmland conversion resulted in a significant loss of arable land resources, land severely damaged the ecological environment, and it lost its function of social security for farmers.This article is upon this consideration, expands non-market value system of agricultural land resources, and develop the economic decision-making function of land conversion. The target of mine is to verify the excessive losses of agricultural land Conversion caused by market failure, and look for the way to weaken the excessive losses. In this way, the article can provide theoretical and empirical basis for the rational allocation of land resources.In the first part of this paper is a review of the domestic and international study about non-market valuation of agricultural land,then I build the framework of the optimal allocation theory considering the account the social and ecological value of agricultural land. Then, I determine the method of my study on the basis of the non-market values of agricultural land, and then estimate the value of agricultural land in Hangzhou. Finally, the results of the calculation will be applied into the model of optimize the allocation of the land resource. Then, I use CD production function to do an empirically research, to calculate the optimal allocation of the agricultural land of Hangzhou from2000 to 2010.Through this research, the main conclusions are as follows:(1)The value of agricultural land is a complex of economic value, social value and ecological value. In the work of land requisition compensation, the compensation for landless peasants should be covered by pension insurance, unemployment insurance, and social security. According to the empirical estimates of the theoretical value of agricultural land, the economic value of the land of Hangzhou is 33833.64 yuan/mu, the social value is 295787 yuan/mu, the ecological value is 28342.5 yuan/mu. Social value accounted for the most part, reached 82.6%. Our compensation is difficult to cover this part, which lead to the passive loss of the land interests of farmers. Strengthen the research in this area, to improve the land acquisition compensation standards, should be the director of our future work.(2)According to the result of the empirical analysis of the excessive land conversion in Hangzhou, in theory, the excessive losses from 2000 to 2010, due to the market failure reaches25%.This shows that due to the neglect of the ecological and social value of land, the phenomenon of over-development of land does exist, the only way get the coordination of agricultural land protection with the economic growth is the reasonable choice of the number of the conversion of agricultural land. In theory, we should follow the condition of optimization configuration of land resource, that means, the marginal revenue of land in agricultural sector is equal to that in the non-agricultural sector. Therefore, we should be more strict in controlling the number of land acquisition, and effectively protect farmland, making sure that the use of land and the development of our society is sustainable.