Abstract for: A System Dynamics Model of Illegal Farmland Use, Pollution, and Land Value in Central Taiwan

According to quantitative and qualitative data, this study established a system dynamics model for addressing the interrelationship among illegal farmland use, pollution, and land value in Central Taiwan. Contrary to the assertions in relevant literature, farmland pollution does not decrease market value. The model built in this study provided explanation by presenting complex feedback mechanisms of the system. Three policies derived from the analysis of the model structure and simulation results were tested. This study argues that reducing the land value gap between farmland and other land, such as land in an industrial park, is the most efficient means of discouraging illegal farmland use and pollution.