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Abstract

This paper provides an empirical analysis of adjustments of land use as a result of the conversion programme in the Swedish agricultural reform of 1990. The determinants of farmers' choice to voluntarily convert arable land to other uses and the share of land converted are analysed with the Heckman selection model. The results suggest that the decision to convert is significantly affected by a farmer's age, the size and location of the farm, the type of farming, and the macroeconomic situation in the region. Farm operators on farms highly specialised in grazing livestock and farmers on large farms were found to be more prone to convert.

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