scholarly journals Do Most U.S. Farms Really Lose Money? Taxation and Farm Income Underreporting

2019 ◽  
Vol 51 (04) ◽  
pp. 646-663 ◽  
Author(s):  
Nigel Key

AbstractThis article explores whether income underreporting for tax purposes can explain why the majority of U.S. farmers earn low or negative net farm income. Using 10 years of U.S. Department of Agriculture farm-level data, the extent of underreporting is estimated by exploiting the fact that farm households face an incentive to underreport farm income that varies with their reported off-farm income. Results indicate that 39% of total farm income is underreported. For large farms, the results imply a substantial discrepancy between reported and earned farm income. For small-scale operations, underreporting reduces but does not eliminate the gap between farm and off-farm wages.


2021 ◽  
Vol 2021 ◽  
pp. 1-8
Author(s):  
Daniel M. Wambua ◽  
Bernard M. Gichimu ◽  
Samuel N. Ndirangu

Despite the increase in area under coffee in Kenya in the last decade, productivity has been on the decline. Numerous production technologies have been developed through on-station research but there has been limited on-farm research to assess the impact of these technologies at the farm level. On the other hand, smallholder farmers are endowed differently and this would positively or negatively affect the adoption of recommended technologies and hence coffee productivity. This study was carried out to evaluate the effects of socioeconomic factors and technology adoption on smallholder coffee productivity at the farm level. The study employed stratified random sampling where 376 farmers were randomly sampled from six cooperative societies which had been preselected using probability proportional to the size sampling technique. The effects of socioeconomic factors and technology adoption on coffee productivity were analyzed using the stochastic Cobb-Douglas production function. The study revealed that off-farm income, access to credit, type of land tenure, and land size had significant positive effects on coffee productivity. Therefore, coffee farmers should be encouraged to diversify their income sources and to embrace credit financing, as the government reviews land use policies to avail adequate agricultural land. The study further revealed that the adoption of recommended application rates of manure, fungicides, and pesticides had significant positive effects on coffee productivity. The adoption of these technologies should therefore be enhanced among small-scale farmers to improve coffee productivity at the farm level.



1996 ◽  
Vol 55 (4) ◽  
pp. 416-424 ◽  
Author(s):  
Francisco Pichón

This article uses farm-level data to assess the role of ecological factors, household characteristics, and policy factors in shaping overall land-use strategies among settler farmers in the Ecuadorian Amazon. The survey data which form the basis for the analysis were collected by the author in 1990 from a probability sample of 450 colonist households. A descriptive cluster analysis is used to highlight the differences across and within the observed land-use strategies regarding the underlying resource base available to farmers, the socioeconomic characteristics of farm households, and the policy environment that affect them. The findings question the inevitability of a generalized pattern of forest clearing over time constrained by a "straitjacket" of natural resources and suggest that the range of land-use options open to farmers is narrowed or widened under different socioeconomic circumstances and policy factors. The results given are exploratory and intended to stimulate further discussion.



2008 ◽  
Vol 146 (5) ◽  
pp. 493-505 ◽  
Author(s):  
U. K. BEHERA ◽  
C. M. YATES ◽  
E. KEBREAB ◽  
J. FRANCE

SUMMARYFarming systems research is a multi-disciplinary holistic approach to solve the problems of small farms. Small and marginal farmers are the core of the Indian rural economy constituting 0·80 of the total farming community but possessing only 0·36 of the total operational land. The declining trend of per capita land availability poses a serious challenge to the sustainability and profitability of farming. Under such conditions, it is appropriate to integrate land-based enterprises such as dairy, fishery, poultry, duckery, apiary, field and horticultural cropping within the farm, with the objective of generating adequate income and employment for these small and marginal farmers under a set of farm constraints and varying levels of resource availability and opportunity. The integration of different farm enterprises can be achieved with the help of a linear programming model. For the current review, integrated farming systems models were developed, by way of illustration, for the marginal, small, medium and large farms of eastern India using linear programming. Risk analyses were carried out for different levels of income and enterprise combinations. The fishery enterprise was shown to be less risk-prone whereas the crop enterprise involved greater risk. In general, the degree of risk increased with the increasing level of income. With increase in farm income and risk level, the resource use efficiency increased. Medium and large farms proved to be more profitable than small and marginal farms with higher level of resource use efficiency and return per Indian rupee (Rs) invested. Among the different enterprises of integrated farming systems, a chain of interaction and resource flow was observed. In order to make farming profitable and improve resource use efficiency at the farm level, the synergy among interacting components of farming systems should be exploited. In the process of technology generation, transfer and other developmental efforts at the farm level (contrary to the discipline and commodity-based approaches which have a tendency to be piecemeal and in isolation), it is desirable to place a whole-farm scenario before the farmers to enhance their farm income, thereby motivating them towards more efficient and sustainable farming.



2020 ◽  
Vol 24 (3) ◽  
pp. 85-97
Author(s):  
John Kennedy Musyoka ◽  
Hezron Nyarindo Isaboke ◽  
Samuel Njiri Ndirangu

The study examined farm-level value addition among small-scale mango farmers in Machakos County, Kenya. A sample size of 352 small-scale mango farmers was proportionately selected from six wards of the study area. A structured interview schedule was used for data collection. Percentage and Heckman two-stage selection model were employed in data analysis. The result showed that only 33.52% of the farmers practised mango value addition. Off-farm income, access to cold storage facilities, price of value-added products, group membership, extension contact, farmers’ awareness, amount of credit and hired labour positively influenced mango farm-level value addition. Training, farmers’ awareness and access to cold storage facilities positively influenced the proportion of mangoes value added at farm-level, while distance to market and livestock equivalence precipitated a negative effect on the proportion of mangoes value added. Relevant authorities in the County should provide adequate and up to date mango storage facilities and improve methods of extension delivery in order to increase the uptake of mango farm-level value addition among small-scale farmers. Keywords: Farm-level value addition, extent of participation



2021 ◽  
Vol 11 (1) ◽  
Author(s):  
Santiago Lopez-Ridaura ◽  
Luis Barba-Escoto ◽  
Cristian A. Reyna-Ramirez ◽  
Carlos Sum ◽  
Natalia Palacios-Rojas ◽  
...  

AbstractWe present an assessment of the extent, diversity, and nutritional contribution of the milpa through a quantitative analysis of data from a survey conducted in 989 small scale farm households in the Western Highlands of Guatemala (WHG). The milpa is a traditional agricultural system in which maize is intercropped with other species, such as common beans, faba beans, squashes or potatoes. Our study shows that more than two-thirds of the 1,205 plots recorded were under the milpa system, with a great diversity of crop combinations. As shown with the 357 plots for which specific yields were available, milpa systems present higher total productivity than monocropped maize, expressed as total energy yield of the harvested crops in the respective system, and were also better at providing the recommended daily allowances of fourteen essential nutrients, based on a Potential Nutrient Adequacy (PNA) indicator. Maize-bean-potato, maize-potato, and maize-bean-faba intercrops had the highest PNAs, and monocropped maize, the lowest. These results support the implementation of milpa systems tailored to different agro-ecologies in order to improve nutrition in the WHG and a variety of similar regions.



2021 ◽  
pp. 097300522199758
Author(s):  
Raju Mandal ◽  
Shrabanti Maity

The agriculture sector in India is beset with twin limitations of shrinking cultivable area and absence of major technological breakthroughs in the recent past. In such a situation, a judicious management of the farm in the form of adjustment in a crop portfolio can be quite useful to maximise output and minimise wastage of resources. This article seeks to examine whether a diversified crop portfolio makes the farmers more efficient using farm-level survey data collected from geographically diverse areas of Assam, a state in northeast India. The results of a stochastic production frontier analysis show that adoption of a diversified crop portfolio across crops and seasons makes the farmers more efficient in cultivation by helping them reduce weather-induced damages to crops and reap better returns from farming. This efficiency-enhancing effect of crop diversification is found to be heterogeneous among the regions. However, too much diversification reduces the efficiency of farmers. The results have important implications for Assam where floods cause extensive damage to crops every year. Moreover, access to extension services and government support are found to make the farmers more efficient. On the other hand, fixed-rent form of tenancy reduces efficiency of the farmers while household size has a positive impact on the same.



2021 ◽  
Vol 13 (11) ◽  
pp. 6365
Author(s):  
Alelgn Ewunetu ◽  
Belay Simane ◽  
Ermias Teferi ◽  
Benjamin F. F. Zaitchik

Sustainable land management (SLM) is a leading policy issue in Ethiopia. However, the adoption and continuous use of SLM technologies remain low. This study investigates the interrelationship of adopted SLM technologies and key factors of farmers’ decisions to use SLM technologies in the North Gojjam sub-basin of the Upper Blue Nile. The study was based on the investigation of cross-sectional data obtained from 414 randomly selected rural household heads, focus group discussions, and key informant interviews. Descriptive statistics and Econometric models (i.e., Multivariate Probit and Poisson regression) were used to analyze quantitative data, while a content analysis method was used for qualitative data analysis. Results indicate that at least one type of SLM technology was implemented by 94% of farm households in the North Gojjam sub-basin. The most widely used technologies were chemical fertilizer, soil bund, and animal manure. Most of the adopted SLM technologies complement each other. Farm size, family size, male-headed household, local institutions, perception of soil erosion, livestock size, total income, and extension service increased the adoption probability of most SLM technologies. Plot fragmentation, household age, plot distance, off-farm income, market distance, and perception of good fertile soil discourage the adoption probability of most SLM technologies. To scale up SLM technologies against land degradation, it is important to consider households’ demographic characteristics, the capacity of farm households, and plot-level related factors relevant to the specific SLM technologies being promoted.



2021 ◽  
Vol 3 (1) ◽  
pp. 89-102
Author(s):  
Protas Fwamba Khaemba ◽  
Philomena Muiruri ◽  
Thomas Kibutu

This paper reports on one of the findings of a study undertaken to investigate the coping strategies used by small-scale sugarcane growers in Bungoma County, Kenya. A descriptive survey design was used. A multi-stage sampling procedure was employed in the selection of the divisions, villages, key respondents, and sugarcane farmers to be interviewed. Primary data were collected using questionnaires from 100 small-scale sugarcane growers’ household heads from Bumula Sub-County. Data were collected during the month of December 2016.  Qualitative data collected were analysed thematically. Quantitative data was analysed using regression in SPSS version 23 and Microsoft Excel. Results from small-scale sugarcane farmers in Bumula Sub-County revealed a declining farmers’ participation in sugarcane farming activities in the area. Coping strategies identified included off-farm income-generating activities, sale of sugarcane by-products and non-contracted cane farming. Significance test qualification was based on a percentage of adjusted R2 and within 0.3 to 0.7 ranges for Beta weight value.  The correlation coefficient (R-value) for the model was 0.362, indicating a moderately positive relationship between variables. The coefficient of determination (R2) was found to be 0.284 (28.4%). Adopted coping strategies accounted for 28.4% variability in the declining farmers’ participation in sugarcane farming. This result suggests the existence of other factors that explain the remaining 71.6% of the variation in the declining farmers’ participation. Farmers should enhance both on-farm and off-farm income-generating activities, sugarcane by-products value addition, and non-contracted cane farming in order to reverse the outcome and result in an enhanced farmers’ participation in sugarcane farming activities by 36.2%



2021 ◽  
Vol 07 (02) ◽  
pp. 36-42
Author(s):  
Ləman Faiq qızı Verdiyeva ◽  

In the current situation, if the characteristic feature of livestock development is, on the one hand, related to the diversification of agriculture, on the other hand it is also associated with the production of various forms of ownership in the country, large farms and small private farms. At present, interrelated financial, technological, social and natural factors remain in our country as factors limiting the development of small-scale livestock farms. However, it should be noted that despite the lack of opportunities and material and technical support, small farms, peasant farmers and households currently produce more than 80% of meat and milk in our country.



Food Security ◽  
2018 ◽  
Vol 10 (6) ◽  
pp. 1463-1478 ◽  
Author(s):  
Christine M. Sauer ◽  
Nicole M. Mason ◽  
Mywish K. Maredia ◽  
Rhoda Mofya-Mukuka


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