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Hidden Underemployment Among Irish Farm Holders 1996-2011

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  • Loughrey, Jason
  • Hennessy, Thia

Abstract

This paper examines the factors driving hidden underemployment on Irish farms during the course of the economic boom in Ireland and the subsequent economic decline post 2008. This measure of hidden underemployment is due to differences between the farmer‟s reported amount of labour and the standard labour requirement estimated in the Teagasc National Farm Survey. Hidden underemployment can be attributed to a number of factors relating to inadequate employment situations as described at the 16th International Conference of Labour Statisticians (16th ICLS) such as low productivity, casual work practices and the poor utilisation of skills and other factors specific to agriculture and/or self employment. We place particular attention upon the potential role of off-farm labour supply in solving the underemployment problem. We use a two-stage residual inclusion model and a random effects probit model to examine the forces behind farm underemployment. This paper provides an interesting set of results given that the end of the economic boom phase co-incided closely but not precisely with the decoupling of farm-level subsidies in 2006.

Suggested Citation

  • Loughrey, Jason & Hennessy, Thia, 2013. "Hidden Underemployment Among Irish Farm Holders 1996-2011," 87th Annual Conference, April 8-10, 2013, Warwick University, Coventry, UK 158849, Agricultural Economics Society.
    • Handle: RePEc:ags:aesc13:158849
    DOI: 10.22004/ag.econ.158849
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    References listed on IDEAS

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    1. Nancy J. Burnett, 1997. "Gender Economics Courses in Liberal Arts Colleges," The Journal of Economic Education, Taylor & Francis Journals, vol. 28(4), pages 369-376, December.
    2. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    3. David N.F. Bell & David G. Blanchflower, 2011. "Underemployment In The Uk In The Great Recession," National Institute Economic Review, National Institute of Economic and Social Research, vol. 215(1), pages 23-33, January.
    4. Amil Petrin & Kenneth Train, 2006. "Control Function Corrections for Unobserved Factors in Differentiated Product Models," 2006 Meeting Papers 856, Society for Economic Dynamics.
    5. Thia Hennessy & Mark O’ Brien, 2006. "The Contribution of Off-Farm Income to the Viability of Farming in Ireland," Working Papers 0613, Rural Economy and Development Programme,Teagasc.
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    Cited by:

    1. Joohun Han & Chanjin Chung, 2021. "Impact of Aging and Underemployment on Income Disparity between Agricultural and Non-Agricultural Households," Sustainability, MDPI, vol. 13(21), pages 1-15, October.

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