Research On The Estimation Of Non-market Value Of Farmland Based On Life Satisfaction Method

Along with the acceleration of our country’s urbanization, the problem of farmland resource loss gets more and more severe day by day, and the rapid decline of farmland brings a lot of problems, restricting the growth of grain and other farm and sideline products yield, which causes ecological environment out of balance and forms a large of farmers who has no land, no job and no social security. These problems severely block the perspective of our economic development and threaten our country’s food security and ecological security, even lead to social unrest. To reverse this situation and relieve the rapid loss of farmland resource, our government established strict farmland protection policies, which reaped little effect. The direct cause of current situation is that the economic benefit of farmland protection and utilization is small and of relatively bigger negative externality. Farmland protection policies almost failed due to the drive of comparative advantage. The fundamental cause is the lack of precise definition and comprehensive measurement of farmland resource value.Based on the above background, the paper carries out comprehensive analysis on farmland value and points out the non-market value of farmland. Currently there are a variety of methods on evaluation of this field, but the application of which are not that ideal due to restriction of realistic condition and the methods themselves. Hence by introduction life satisfaction degree, the paper elaborates on the theoretical foundation, model construction, comparison with other methods and basic premises of the method, does the empirical research of the non-market value of far urban farmland ofWuhan by use of this method and obtains the non-market value of it. After analyzing the result of evaluation, the paper points out the application prospect of life satisfaction method.The basic structure and main contents are as follows:The first chapter is the introduction, mainly talking about the background of the research, the research purpose and significance, the domestic and foreign research trends and the review, the research ideas and framework and research methods etc.The second chapter is the relevant theories and definition of farmland. By beginning with a set of basic theories of farmland value, the chapter points out the existence of farmland value, through studying some opinions of academia on the classification of farmland resource value, illustrates the concept and definition of farmland non-market value and specifies research target. The third chapter introduces the method of life satisfaction degree. By introduction the root of life satisfaction method, this chapter states the theoretical basis of the method and elaborates on the evaluation idea of it. Except for that, the chapter does a series of comparison of life satisfaction method with traditional methods reflecting the advantage of this method, and at the end points out the application requirement of this method.The forth chapter does the empirical study on the data coming from a random sample in the outskirts of Wuhan City and description and brief analysis.The fifth chapter is data processing and analysis. By building the linear function of life satisfaction and doing the regression analysis by use of SPSS software and modifying it, the chapter obtains the results of non-market values of farmland in the outskirts of Wuhan City.The sixth chapter is conclusion and discussion which illustrates the conclusion of the paper and discusses on it, points out the shortcoming of the research and looks forward to the application prospect of life satisfaction method.The conclusions of the paper includes (1) discussing farmland value and pointing out the objectivity of the existence of non-market value of farmland and its definition,(2) comparing with traditional methods, life satisfaction method has a wide range of applications, an assumption easy to achieve, and an obvious advantages, therefore, has broad application prospects;(3) using life satisfaction method to evaluate the non-market value of farmland in Wuhan and getting the result of non-market values of far urban farmland in Wuhan of50075.88yuan per hectare.The possible innovation of the paper lies in the initial introduction of life satisfaction and confirmation of the operability of the method.