scholarly journals Farm Income Variability and the Supply of Off-Farm Labor by Limited-Resource Farmers

2004 ◽  
Vol 36 (2) ◽  
pp. 467-479 ◽  
Author(s):  
Oscar Vergara ◽  
Keith H. Coble ◽  
George F. Patrick ◽  
Thomas O. Knight ◽  
Alan E. Baquet

We study the relationship between the off-farm labor decision and the limited-resource farmers' and spouses' off-farm wages, experience, education, and sources of income. We found that farmers' and spouses' off-farm experience and wages are significant factors in explaining the off-farm labor supply decision. Contrary to expectations, farm income variability is not significant in the farmers' and spouses' decision to seek off-farm work. The off-farm labor supply of farmers and their spouses is negatively correlated with income transfers from the government. It was also found that the spouse is a residual supplier of on-farm and off-farm labor.

2002 ◽  
Vol 31 (2) ◽  
pp. 187-199 ◽  
Author(s):  
Ashok K. Mishra ◽  
Duncan M. Holthausen

This study models the effects of variability in farm income and off-farm wages on farm operators' labor allocation decisions. A simple theoretical model is employed to develop hypotheses, which are then tested empirically. Variability in farm income and off-farm wages is predicted to have a positive and negative effect, respectively, on off-farm hours worked. The empirical results confirm these predictions.


2020 ◽  
Vol 52 (4) ◽  
pp. 642-663
Author(s):  
Nigel Key

AbstractMany farmers face borrowing limits that depend on their household income and net worth. Given such credit constraints, an increase in off-farm income should allow farmers to borrow more, thus influencing production decisions and productivity. To test this hypothesis, the education level of the farm operator’s spouse is used to identify exogenous variation in off-farm income. Findings indicate that higher off-farm income leads to more borrowing, capital expenditures, capital input intensity, farm labor use, output, farm income, and productivity. Results suggest that Federal programs that promote access to credit for limited-resource farmers may increase farm investment and productivity.


Author(s):  
Alexandra E. Hill ◽  
Izaac Ornelas ◽  
J. Edward Taylor

The labor supply response to agricultural wages is critical to the viability of crop production in high-income countries, which hire a largely foreign farm work force, as well as in low-income countries, where domestic workers move off the farm as the agricultural transformation unfolds. Modeling agricultural labor supply is more challenging than modeling the supply of other agricultural inputs or of labor to other sectors of the economy owing to unique features of agricultural production and farm labor markets. Data and econometric challenges abound, and estimates of agricultural labor supply elasticities are sparse. This review explains the importance and challenges of modeling farm labor supply and describes researchers’ efforts to address these challenges. It summarizes estimates of agricultural labor supply elasticities over the last 80 years, provides insights into variation in these estimates, identifies priority areas for future research, and reviews the most influential empirical work related to this important topic. Expected final online publication date for the Annual Review of Resource Economics, Volume 13 is October 2021. Please see http://www.annualreviews.org/page/journal/pubdates for revised estimates.


2005 ◽  
Vol 37 (1) ◽  
pp. 37-48 ◽  
Author(s):  
Kevin T. McNamara ◽  
Christoph Weiss

The paper analyzes the relationship between off-farm labor allocation and on-farm enterprise diversification as farm household income stabilization strategies with census data from the federal state of Upper Austria, Austria. The results suggest that both on-farm diversification and off-farm labor allocation are related to farm and household characteristics. Larger farms tend to be more diversified. Younger farmers are more likely to work off-farm. Larger farm households tend to allocate more labor to off-farm income activities.


1997 ◽  
Vol 79 (3) ◽  
pp. 880-887 ◽  
Author(s):  
Ashok K. Mishra ◽  
Barry K. Goodwin

2021 ◽  
Vol 883 (1) ◽  
pp. 012034
Author(s):  
I P N Damanik ◽  
M E Tahitu ◽  
M Turukay ◽  
F P Adam

Abstract This study aims to analyze the level of farmer empowerment in carrying out farming activities as the main livelihood and its impact on farm income during the Covid-19 pandemic. The research was conducted online by distributing questionnaires in the form of google form in various affordable areas. There were 113 responses obtained by returning the google form on time. The three regions that sent the most responses were farmers in Ambon City, West Seram Regency, and Central Maluku Regency. After analyzing using qualitative descriptive analysis, the results showed that the level of farmer empowerment during the Covid-19 pandemic decreased, especially in terms of marketing of crop products for fruit and vegetable commodities, while for food commodities such as rice tended to be stable. This has an impact on farm productivity and income. The main factor causing a decrease in the level of farmer empowerment is the decreasing purchasing power of the community during the Covid pandemic19; Accessibility of farmers to markets is difficult, there are even times when farmers cannot go to the market due to large-scale social restrictions, the frequency of presence of collectors is reduced, access to plant production facilities is hampered unlike before the Covid pandemic19. This condition requires serious attention from the government so that farmers do not experience difficulties in marketing agricultural products and can maintain the stability of farm income. The solution at the farmer level is to form farmer groups so that the marketing of farm products and the fulfillment of plant production facilities can be done through farmer groups.


1975 ◽  
Vol 7 (1) ◽  
pp. 247-252 ◽  
Author(s):  
Inbum Song ◽  
John R. Franzmann ◽  
John F. Mead

Two major programs — allotment-quota and price support — have been in force to support peanut farming since 1952. The purpose is to restrict production of peanuts while supporting the price of peanuts produced. Production is restricted through the allotment-quota program, determined by the Secretary of Agriculture, and converted to a national acreage allotment. However, minimum national acreage allotment has been fixed at 1.61 million acres. The price support program provided that price be supported no lower than 75 percent of the parity price of peanuts. Under the programs, peanuts produced by the grower are sold on the market at the support price for edible uses and excess quantities are sold to the government at the support price. Peanuts purchased by the government are stored and later sold for crushing at the going market price. Because peanuts for crushing command a much lower price than the government acquisition price, the purchase-and-resale operation results in a net loss representing public cost of the peanut price support program.


2018 ◽  
Vol 8 (4) ◽  
pp. 642-655 ◽  
Author(s):  
Karin Wu ◽  
Hung-Hao Chang ◽  
Lih-Chyun Sun

PurposeThe purpose of this paper is to investigate the effects of disaster relief payments on on-farm and off-farm labor supply of farm households in Taiwan. The effectiveness of the policy amendments of the disaster relief assistance programs is also examined.Design/methodology/approachA unique sample of 124,827 persons living in the family farm household in 2009, 2011, 2012, 2013 and 2014 was used. This sample was merged into the township-level administrative profile of all of the recipients of agricultural disaster relief payments from the Natural Disaster Program in Taiwan. A fixed effect panel data model was estimated to analyze the impacts of disaster relief payments on each individual’s labor supply decision.FindingsNatural disaster payments significantly reduced individual’s propensity to work on the farm. Moreover, the higher of the payments, the higher(lower) possibility of the individual to engage in on-farm(off-farm) work. In addition, an increase in the amount of disaster payments can increase the on-farm labor supply of family farm members.Research limitations/implicationsDue to data unavailability, an individual-level panel data set is not used. Future studies can check the robustness of the finding using an individual-level panel data set.Originality/valueThis paper contributes to the limited empirical evidence on agricultural relief programs.


2020 ◽  
Vol 2020 ◽  
pp. 1-8
Author(s):  
Benjamin Tetteh Anang ◽  
Kwame Nkrumah-Ennin ◽  
Joshua Anamsigiya Nyaaba

Participation of farm households in off-farm work has gained prominence in recent times as an income diversification strategy. The effect of off-farm work on farm income is however unclear. This paper therefore sought to provide empirical evidence of the income effect of off-farm activity participation using a cross section of maize farmers in Tolon District of Ghana as a case study. In order to account for sample selection bias, the Heckman selection model was used to estimate the factors influencing participation in off-farm work and the determinants of farm income. Furthermore, the study employed propensity score matching to evaluate the impact of off-farm work on farm income. The results indicate that participation in off-farm work is influenced by sex, age, and years of formal education of the respondent, farm size, and number of dependents while farm income is influenced by age of the respondent, farm size, and access to credit. In addition, the result of the propensity score matching revealed that participants in off-farm work increased their farm income by at least GH¢ 1702 as a result of income diversification. The rural economy therefore provides off-farm and on-farm linkages that enhance farmers’ income from agriculture. The creation of employment opportunities outside the farm will therefore complement on-farm work and enhance income from farming.


1967 ◽  
Vol 49 (5) ◽  
pp. 1237
Author(s):  
Varden Fuller ◽  
Calvin L. Beale

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