In many areas today, farmland values are influenced by factors
other than agricultural productivity, such as urban influence and
natural or rural amenities. The capitalized value of expected rents
(rental rate divided by 10-year Treasury note) is a broad indicator
of the amount of farmland value due to agricultural use. When the
ratio of farmland values to capitalized rents exceeds 1.0, it
suggests a deviation between the market value of farmland and its
implied agricultural use value. In States such as Florida and New
Jersey, cropland values greatly exceed their implied agricultural
use value. In more rural States such as South Dakota, cropland
values are mostly determined by agricultural use. This map can be
found in the ERS report, Agricultural Resources and Environmental
Indicators, 2012 Edition, EIB-98, August 2012.