[1].Insofarasthereismorethanoneindividualwhowantsthesamepropertyresource,petitionisimplied,andthenumberofpetitorsincludesnotonlythosewhoareactuallyusingtheresourcebutalsopotentialowners（users）.Theassumptionofzerocontractingcostsubstitutesforthesometimesdubiousassumptionof”pure””contractingcost”arethecosts

[2].Dependingontheproductionfunction,

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Forsimplicityofpresentation,assumetherearetwohomogeneousfactorsofproduction,handt,wherehis,itfollowsthatthelandsize,h,andtherentalpercentage,r,contractedforeachtenantfarmwillbethesameinequilibrium.

Leteachtenantfarmsproductionfunctionbe

q=q（h,t）

Theamountoflandperfarm,h,isequaltothetotallandholdingofthelandowner,H,dividedbythenumberoffarms,m;thatis,

Thelandownerstotalrent,R,isthenequaltothenumberoffarmstimestherentperfarm;thatis,

R=m·r·q（h,t）

Underpetition,

Wt=（1-r）q（h,t）

whereWisthemarketwagerateofthetenantlabor,t.

TheproblemofthelandowneristhentomaximizeR,throughthechoiceofm,r,andt,subjecttotheconstraintofpetition;[1]thatis,

www.youxs.org·r·q（h,t）

{m,r,t}

subjecttoWt=（1-r）q{h,t）

FormingtheLagrangeanexpression,theproblemisthusthemaximizationof

Thenecessaryconditionsare:

Fromequation（2）above,wehave

λ=m

Andnotingthat

,equation（1）bees

thatis,

Thisindicatesthatrentperacreoflandequalsthemarginalproductoflandinequilibrium,aconditionidenticaltothatofafixed-rentcontract.

Fromequation（3）,wehave

orthemarginalproductoftenantlaborequalsthewagerate,,solvingequations（1）and（4）forr,

Thatis,inequilibrium,,inequilibrium,theelasticityofoutputwithrespecttoland,

,equalsthetotalyieldnetoftenantcost（rent）asaportionofthetotalproduct,

[1].,anadnditionsinequilibrium.

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There,whi/hrepresentstheaverageproductoflandwithonetenantfamilyemployed;thatis,theaverageproductwithrespecttothelandsizewhileholdingallotherfarminginputs（ofonetenantfamily）/h,orthefixedtotaltenantfarmingcostdividedbylandarea,revealsthecostoffarminginputs（otherthanland）whichyieldtheexpectedq/www.youxs.org.[1]

Thatis,f/h=（pt·t+pz·z+……）/h;wherefistheconstanttotalcostotherthanland,andpt,pz,···arethefactorpricesoftenantlabor,t;fertilizers,z;……Sinceweholdthefarminginputsconstant,thef//handf/hdefines（q-f）/h,therentperunitofland,takingintoaccountthealternativecostofthetenant.[2]

Thetotalamountoftenantinputswhichdefinef/harecontrac-tuallystipulated,whichisessentialbeca,,itwouldbetohisinterestthatthecos