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Location Preference for Risk-Averse Dutch Dairy Farmers Immigrating to the United States

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Author Info

  • Richardson, James W.
  • Herbst, Brian K.
  • Duncan, Anthony
  • den Besten, Mark
  • van Hoven, Peter

Abstract

Increased environmental regulations and a milk quota that restricts growth have increased the interest in immigration to the United States by Dutch dairy farmers. A risk-based economic analysis of 23 representative U.S. dairy farms versus a representative Dutch farm shows that risk-averse Dutch dairy farmers would prefer to liquidate their dairy farms and invest in a large dairy in Idaho or north Texas. The risk ranking suggested that continuing to farm in the Netherlands rather than immigrating to the United States is preferred over only two of the 23 U.S. representative farms analyzed.

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Bibliographic Info

Article provided by Southern Agricultural Economics Association in its journal Journal of Agricultural and Applied Economics.

Volume (Year): 39 (2007)
Issue (Month): 03 (December)
Pages:

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Handle: RePEc:ags:joaaec:37061

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Web page: http://www.saea.org/jaae/jaae.htm
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Related research

Keywords: dairy relocation; production economics; ranking risky alternatives; risk analysis; F21; F22; Q12; Q14; E37; D81;

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Cited by:
  1. Luljeta Hajderllari & Kostas Karantininis & Ole Bonnichsen, 2012. "Danish Farmers and Investors: An analysis of reasons and motivations for increasing cross-border agricultural activities in Central and Eastern European countries," IFRO Working Paper 2012/10, University of Copenhagen, Department of Food and Resource Economics.

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