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Updating the ERS Farm Typology

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  • Hoppe, Robert A.
  • MacDonald, James M.
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    Abstract

    The USDA’s Economic Research Service (ERS) farm typology was originally developed to classify farms into relatively homogeneous groups based on their gross farm sales, the primary occupation of their operators, and whether the farms are family farms. Nearly 15 years have passed since ERS first released its farm typology; in this report, we update it to reflect commodity price inflation and the shift of production to larger farms. We also make a technical change, switching the measure of farm size from gross farm sales to gross cash farm income (GCFI), the total revenue received by a farm business in a given year. After the price adjustment, small farms are defined as those with GCFI less than $350,000, up from the original $250,000 cutoff. To adjust for the upward shift in production, two groups are added to the typology for farms with GCFI of $1 million or more, and a midsize group is added for farms with GCFI between $350,000 and $999,999.

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    File URL: http://purl.umn.edu/147120
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    Bibliographic Info

    Paper provided by United States Department of Agriculture, Economic Research Service in its series Economic Information Bulletin with number 147120.

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    Date of creation: Apr 2013
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    Handle: RePEc:ags:uersib:147120

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    Related research

    Keywords: classifying farms; family farms; farm businesses; farm operators; farm operator household income; farm size; farm structure; farm typology; large farms; large-scale farms; midsize farms; million-dollar farms; small farms; Agricultural and Food Policy;

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    1. MacDonald, James M., 2008. "The Economic Organization of U.S. Broiler Production," Economic Information Bulletin 58627, United States Department of Agriculture, Economic Research Service.
    2. Brian C. Briggeman & Allan W. Gray & Mitchell J. Morehart & Timothy G. Baker & Christine A. Wilson, 2007. "A New U.S. Farm Household Typology: Implications for Agricultural Policy," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(4), pages 765-782.
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    Cited by:
    1. Ifft, Jennifer & Patrick, Kevin & Novini, Amirdara, 2014. "Debt Use By U.S Farm Businesses, 1992-2011," Economic Information Bulletin 165912, United States Department of Agriculture, Economic Research Service.

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