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Hysteresis And The Shortage Of Agricultural Labor

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  • Bryant, Amy
  • Richards, Timothy J.

Abstract

The GAO disputes growers' claims of a labor shortage, using unreliable farm employment data rather than relative wages. A shortage, implying a failure of intersectoral arbitrage, may arise due to hysteresis in labor movement. Estimates find the probability of a farm labor shortage (30%) three times that of a surplus.

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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 1998 Annual meeting, August 2-5, Salt Lake City, UT with number 20858.

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Date of creation: 1998
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Handle: RePEc:ags:aaea98:20858

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Keywords: Labor and Human Capital;

References

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  1. Hatton, Timothy J. & Williamson, Jeffrey G., 1991. "Wage gaps between farm and city: Michigan in the 1890s," Explorations in Economic History, Elsevier, vol. 28(4), pages 381-408, October.
  2. Jaeger, Albert & Parkinson, Martin, 1990. "Testing for Hysteresis in Unemployment: An Unobserved Components Approach," Empirical Economics, Springer, vol. 15(2), pages 185-98.
  3. Dixit, Avinash K, 1989. "Entry and Exit Decisions under Uncertainty," Journal of Political Economy, University of Chicago Press, vol. 97(3), pages 620-38, June.
  4. repec:cdl:agrebk:677080 is not listed on IDEAS
  5. Rod Cross & Michael Grinfeld & Laura Piscitelli, 1999. "Hysteresis in Economic Systems," Computing in Economics and Finance 1999 723, Society for Computational Economics.
  6. Cross, Rod, 1993. "On the Foundations of Hysteresis in Economic Systems," Economics and Philosophy, Cambridge University Press, vol. 9(01), pages 53-74, April.
  7. Jovanovic, Boyan & Moffitt, Robert, 1988. "An Estimate Of A Sectoral Model Of Labor Mobility," Working Papers 88-32, C.V. Starr Center for Applied Economics, New York University.
  8. Spiller, Pablo T & Huang, Cliff J, 1986. "On the Extent of the Market: Wholesale Gasoline in the Northeastern United States," Journal of Industrial Economics, Wiley Blackwell, vol. 35(2), pages 131-45, December.
  9. Bob Baulch, 1997. "Transfer Costs, Spatial Arbitrage, and Testing for Food Market Integration," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 477-487.
  10. Perloff, Jeffrey M, 1990. "The impact of wage differentials on choosing to work in agriculture," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt68j399k8, Department of Agricultural & Resource Economics, UC Berkeley.
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Citations

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Cited by:
  1. Gardebroek, Cornelis & Oude Lansink, Alfons G.J.M., 2008. "Dynamic Microeconometric Approaches To Analysing Agricultural Policy," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6592, European Association of Agricultural Economists.
  2. Calum G. Turvey, 2010. "Biography: Kiyosi Itô and his influence on the study of agricultural finance and economics," Agricultural Finance Review, Emerald Group Publishing, vol. 70(1), pages 5-20, May.
  3. Luong, Quoc & Tauer, Loren W., 2004. "A Real Options Analysis of Coffee Planting in Vietnam," Working Papers 127152, Cornell University, Department of Applied Economics and Management.
  4. Tauer, Loren W., 2004. "When to Get In and Out of Dairy Farming: A Real Option Analysis," Working Papers 127151, Cornell University, Department of Applied Economics and Management.
  5. Turvey, Calum G., 2002. "Can Hysteresis And Real Options Explain The Farmland Valuation Puzzle?," Working Papers 34131, University of Guelph, Department of Food, Agricultural and Resource Economics.
  6. Feil, Jan-Henning & Musshoff, Oliver, 2012. "Policy Impact Analysis on Investments and Disinvestments under Competition: A Real Options Approach," 2012 Conference (56th), February 7-10, 2012, Freemantle, Australia 124294, Australian Agricultural and Resource Economics Society.
  7. Odening, Martin & Musshoff, Oliver & Utesch, Volker, 2004. "Der Wechsel vom konventionellen zum ökologischen Landbau: Eine investitionstheoretische Betrachtung," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 53(6).
  8. Wossink, Ada, 2000. "The Failure Of Marketable Permit Systems And Uncertainty Of Environmental Policy: A Switching Regime Model Applied To The Dutch Phosphate Quota Program," 2000 Annual meeting, July 30-August 2, Tampa, FL 21792, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  9. Odening, Martin & Musshoff, Oliver & Huettel, Silke, 2003. "Empirische Validierung von Realoptionsmodellen," Working Paper Series 18825, Humboldt University Berlin, Department Agricultural Economics.
  10. Wesseler, Justus & Scatasta, Sara & Nillesen, Eleonora, 2007. "The maximum incremental social tolerable irreversible costs (MISTICs) and other benefits and costs of introducing transgenic maize in the EU-15," MPRA Paper 33229, University Library of Munich, Germany.
  11. Wheatley, W. Parker & Liu, Donald J. & del Ninno, Carlo, 2001. "Empirical Analysis Of Hysteresis In Rural Labor Markets In A Developing Country: The Case Of Bangladesh," 2001 Annual meeting, August 5-8, Chicago, IL 20594, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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