Which of the following is considered an economic factor influencing land value?

Market demand is fundamentally an economic factor influencing land value because it reflects the desire of buyers to acquire land, which directly affects how much they are willing to pay. When there is strong market demand for properties in a particular area, prices tend to rise as potential buyers compete for limited available land. Conversely, when demand is low, property values may decrease due to a surplus of available land and fewer buyers.

While accessibility, improvements, and location can affect land value, they are more related to physical characteristics and enhancements rather than direct economic conditions. For instance, accessibility can enhance the attractiveness of a property, improvements can increase its usability and benefit, and location often determines desirability, all of which may influence market demand but do not inherently represent economic factors in themselves. Market demand encapsulates the economic conditions and buyer motivations that ultimately drive land prices.