1. Von Thunen’s Theories of Land Use and Agricultural Organization
How is agricultural land organized?
How does this impact the cost of rent/purchasing land?

2. Land Use and Agriculture
Fallow – the practice of farming land, harvesting, tilling (but not planting), and repeating the cycle
Half the field is fallowed, the other half is planted
CBD – central business district (town, city, hearth)
Three-Field Farming
Only one third of the field is fallowed, while the other two parts are harvested in Spring and Autumn
Bid rent – how much someone is willing to pay for a particular piece of land

3. Johann Heinrich Von Thünen
Developed an agricultural model to explain the locations and costs of agriculture in and around a CBD
He used mathematics to explain the cost of farming in multiple environments
R = Y(p − c) − YFm
R = rent p = production costs
Y = yield c = market price
F = transportation costs
m = distance to market

4. Applications
By analyzing the consumer costs, production, and geographic limitations, Von Thunen’s model could help landowners and agriculturalists determine adequate rent for land and potential profits
This model is outdated and was created assuming all land was similar, climate was fixed, no roads existed, and technology would not improve
This model has been modified to take physical features into account

5. William Alonso
William Alonso used von Thunen’s model to evaluate the cost of land in an agricultural region (or industrial center)
The farther away from the CBD, the less money people were willing to pay due to the limited access to the CBD
How can this be applied today?

8. Modernization
How can the principals of von Thünen and Alonso be used to explain land costs for agriculture today?
What changes over time have shifted this model?
Can this model be used in future agriculture?
Where can this model still be seen?

9. Grocery Ad
How can the grocery ad illustrate von Thunen’s model in action?
Why are the prices different for each product?
What factors are used to determine the market cost of foods?