Demand for Land Resources

Demand for Land

• Demand for land is derived from societal needs and aspirations, rather than from a direct desire for land itself.
• Rising global population increases demand for land due to heightened aspirations and needs.
• World population milestones:
  • 1800: 1 billion
  • 1930: 2 billion
  • 1960: 3 billion
  • 1985: 4 billion
  • 2000: 6 billion
  • 2012: 7 billion
  • 2021: 8 billion
• Factors influencing demand for land include:
  • Technological advancements
  • Educational background and individual goals
  • Income levels
  • Traditions and customs
  • Population and demographic pressures
  • Economic conditions

Population Density

• Population density quantifies the relationship between population numbers and land resources (e.g., persons per square kilometer).
• It does not accurately reflect population distribution or carrying capacity of land resources.
• This measure can create misleading perceptions of how populations are distributed.

Man-Land Ratio

• Man-land ratio describes the qualitative relationship between people and their land resources.
• It can indicate areas of cropland available per farmer or per person, assessing human demand for productive land.
• In 2008, the world's total productive bio-capacity was 12.0 billion global hectares (gha), equating to 1.8 gha per person.
• Global land demand reached 18.2 billion gha, or 2.7 gha per person according to the Living Planet Report.

Economic Supply of Land

• Supply of land is influenced by institutional factors, including culture, group actions, government regulations, and public opinion.
• Customs and traditions can significantly impact land use decisions.
• Government actions (laws, zoning regulations, credit options) can either enhance or limit land supply.
• Property rights and land tenure systems also play critical roles in land supply.

Technological Factors

• The supply of land reflects current technological advancements that enhance its useful purposes.
• Historical limitations on land use have been reduced through technology (e.g., improved transportation, construction, and agricultural machinery).

Demand Definitions

• Demand refers to the quantity of a commodity individuals are willing and able to purchase.
• Physical demand encompasses the needs and wants for basic commodities and services (e.g., diet, housing, education).
• Effective demand reflects individuals' willingness and ability to buy, offering a realistic measurement of dependence on resources.

The Concept of Proportionality

• Proportionality relates to optimizing the combination of production factors (land, labor, capital, management) to maximize outputs.
• Awareness of the Law of Diminishing Returns is essential for producers seeking profitable combinations of productive factors.