Land, laws, and identity: State restrictions and foreign ownership of U.S. agriculture

This thesis examines the impact of state laws restricting foreign ownership of agricultural land in the United States, exploring the causal relationship between these legislative measures and the percentage of agricultural land owned by foreign entities. Using the two-way fixed effects (2WFE) model with varying lag structures, the analysis focuses on states that have enacted restrictions and compares them to states with no such restrictions by using USDA data from 2010-2021. Drawing on theories of political economy, the thesis delves into the political motivations behind these laws and evaluates their effect. By examining the motivations behind these legislative measures, this research sheds light on the complex dynamics between state-level policy, economic interests, and national security concerns. It also evaluates the effectiveness of these policies in reducing foreign-held agricultural land, while considering broader political and economic pressures shaping the outcomes. Ultimately, this thesis offers a critical analysis of how state laws on foreign ownership may impact the future of U.S. agricultural land and the ongoing debates surrounding foreign investment in agriculture.