Journal ofAgricultural and Resource Economics 27(2):464-480 Copyright 2002 Western Agricultural Economics Association Using Satellite Imagery in Predicting Kansas Farmland Values

Can remotely sensed imagery improve hedonic land price models? A remotely sensed variable was added to a hedonic farmland value model as a proxy for land produc-tivity. Land cover data were used to obtain urban and recreational effects as well. The urban and recreational effects were statistically significant but economically small. The remotely sensed productivity variable was statistically significant and economically large, indicating that knowing the "greenness " of the land increased the explanatory power of the hedonic price model. Thus, depending upon the cost of this information, including remotely sensed imagery in traditional hedonic land price models is economically beneficial. Key words: hedonic models, land values, remote sensing, satellite imager