Because better weather makes farmland more productive, farmland in regions with good weather conditions is more expensive
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Because better weather makes farmland more productive, farmland in regions with good weather conditions is more expensive than farmland in regions with bad weather conditions. Over time, however, as advances in technology have made all farmland more productive, the price of farmland (adjusted for overall inflation) has fallen.
Use the concept of elasticity to explain why productivity and farmland prices are positively related across space but negatively related over time.
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