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Estimating the long-run supply and demand for agricultural labour in the UK

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  • K Balcombe
  • A Prakash

Abstract

In this paper we derive supply and demand equations for labour in the UK agricultural sector. Using a cointegrating vector autoregression framework, identifying restrictions from theory are imposed, and the long-run labour supply and demand relationships are estimated. We find a significant elasticity of substitution between labour and the other factors of production. The minimum wage has had a significant negative impact on the level of labour demanded. Copyright 2000, Oxford University Press.

Suggested Citation

  • K Balcombe & A Prakash, 2000. "Estimating the long-run supply and demand for agricultural labour in the UK," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 27(2), pages 153-166, June.
    • Handle: RePEc:oup:erevae:v:27:y:2000:i:2:p:153-166
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    Cited by:

    1. Pavel Ciaian, 2002. "The impact of the Common Agricultural Policy on income distribution and welfare in Central and Eastern European Countries," EERI Research Paper Series EERI_RP_2002_02, Economics and Econometrics Research Institute (EERI), Brussels.
    2. Ciaian, Pavel & Kancs, d'Artis, 2011. "Food, energy and environment: Is bioenergy the missing link?," Food Policy, Elsevier, vol. 36(5), pages 571-580, October.
    3. Ciaian, Pavel & Kancs, d'Artis, 2011. "Interdependencies in the energy-bioenergy-food price systems: A cointegration analysis," Resource and Energy Economics, Elsevier, vol. 33(1), pages 326-348, January.
    4. Pavel Ciaian & Edoardo Baldoni & d'Artis Kancs & DuĊĦan Drabik, 2021. "The Capitalization of Agricultural Subsidies into Land Prices," Annual Review of Resource Economics, Annual Reviews, vol. 13(1), pages 17-38, October.
    5. Tomas Kucera, 2020. "Are Employment Effects of Minimum Wage the Same Across the EU? A Meta-Regression Analysis," Working Papers IES 2020/2, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised Jan 2020.

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