What Is Marginal Land?

Marginal land is, under certain production conditions, production land that is just enough to compensate the required costs (including advances and investments in land reclamation and various production costs in the production process).

Marginal land

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Marginal land is, under certain production conditions, production land that is just enough to compensate the required costs (including advances and investments in land reclamation and various production costs in the production process).

Under certain production conditions, the production income is just enough to compensate the land (including advances and investments in land reclamation and various production costs in the production process). Western land economics research commonly used concepts in analyzing land use levels. Land whose land production income is insufficient to cover all costs is called "submarginal land". The determination of marginal land is related to the price of agricultural products and the level of production costs, in addition to the fertility and location of the land. Therefore, the nature of marginal land changes accordingly.