An assessment of the value of pastoral development in Northland

This paper presents the results of an economic study of farm development in Northland. In this study, records were collected of 32 dairy farm case histories which had increased butterfat production by 105% in an average of 6 years, and 18 sheep farm case histories for which wool production increased 116% over a 7-year period. Also included are data supplied by the Lands and Survey Department on the economic outcome of two land development blocks. In this paper, attention is focused on the cash costs and benefits of development and their valuation by economic methods. Nevertheless, the deficiencies of this approach are recognized, because cash costs and benefits are only one dimension of the outcome of development and the method used for valuing this outcome makes assumptions about the values of the farmer and society.This research was generously funded by the Commercial Rank of Australia to mark their 100th Anniversary