IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

The Impact of Human Capital on Farm Operator Household Income

  • El-Osta, Hisham S.
Registered author(s):

    Data from the 2006 Agricultural Resource Management Survey and multivariate regression procedures are used to examine the role of human capital in impacting the incomes of farm households. The paper uses an “adjusted†concept of income where government payments are subtracted from total household income thus allowing for the utilization of government payments as a potential control variable in the regression models. Findings indicate a significant and positive role for higher education except for farm households at the very lower and upper ends of the income distribution.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://purl.umn.edu/106062
    Download Restriction: no

    Article provided by Northeastern Agricultural and Resource Economics Association in its journal Agricultural and Resource Economics Review.

    Volume (Year): 40 (2011)
    Issue (Month): 1 (April)
    Pages:

    as
    in new window

    Handle: RePEc:ags:arerjl:106062
    Contact details of provider: Web page: http://www.narea.org/

    More information through EDIRC

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as in new window
    1. Milton Friedman & Simon Kuznets, 1954. "Income from Independent Professional Practice," NBER Books, National Bureau of Economic Research, Inc, number frie54-1, May.
    2. Charles F. Manski, 2000. "Economic Analysis of Social Interactions," NBER Working Papers 7580, National Bureau of Economic Research, Inc.
    3. Joseph G. Altonji & Ulrich Doraszelski, 2000. "The Role of Permanent Income and Demographics in Black/White Differences in Wealth," Working Papers 850, Economic Growth Center, Yale University.
    4. Roe, Terry & Somwaru, Agapi & Diao, Xinshen, 2002. "Do direct payments have intertemporal effects on U.S. agriculture?," TMD discussion papers 104, International Food Policy Research Institute (IFPRI).
    5. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-38, May.
    6. Parker, Timothy S. & Gibbs, Robert, 2005. "Low Earnings But Steady Job Growth in Low-Employment Counties," Amber Waves, United States Department of Agriculture, Economic Research Service, September.
    7. Newbery, David M, 1989. "The Theory of Food Price Stabilisation," Economic Journal, Royal Economic Society, vol. 99(398), pages 1065-82, December.
    8. Harwood, Joy L. & Heifner, Richard G. & Coble, Keith H. & Perry, Janet E. & Somwaru, Agapi, 1999. "Managing Risk in Farming: Concepts, Research, and Analysis," Agricultural Economics Reports 34081, United States Department of Agriculture, Economic Research Service.
    9. Christopher D Carroll & Karen E Dynan & Spencer D Krane, 1999. "Unemployment Risk and Precautionary Wealth: Evidence from Households' Balance Sheets," Economics Working Paper Archive 416, The Johns Hopkins University,Department of Economics.
    10. David Card, 1994. "Earnings, Schooling, and Ability Revisited," NBER Working Papers 4832, National Bureau of Economic Research, Inc.
    11. Hung-Hao Chang & Dayton M. Lambert & Ashok K. Mishra, 2008. "Does participation in the conservation reserve program impact the economic well-being of farm households?," Agricultural Economics, International Association of Agricultural Economists, vol. 38(2), pages 201-212, 03.
    12. Hisham S. El-Osta & Ashok K. Mishra & Mitchell J. Morehart, 2007. "Determinants of economic well-being among U.S. farm operator households," Agricultural Economics, International Association of Agricultural Economists, vol. 36(3), pages 291-304, 05.
    13. Yoram Ben-Porath, 1967. "The Production of Human Capital and the Life Cycle of Earnings," Journal of Political Economy, University of Chicago Press, vol. 75, pages 352.
    14. Smith, Aaron D. & Goe, W. Richard & Kemey, Martin & Morrison Paul, Catherine J., 2004. "Computer and Internet Use by Great Plains Farmers," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 29(03), December.
    15. Wozniak, Gregory D, 1984. "The Adoption of Interrelated Innovations: A Human Capital Approach," The Review of Economics and Statistics, MIT Press, vol. 66(1), pages 70-79, February.
    16. Moshe Buchinsky, 1998. "Recent Advances in Quantile Regression Models: A Practical Guideline for Empirical Research," Journal of Human Resources, University of Wisconsin Press, vol. 33(1), pages 88-126.
    17. Joshua Angrist & Alan Krueger, 1990. "Does Compulsory School Attendance Affect Schooling and Earnings?," Working Papers 653, Princeton University, Department of Economics, Industrial Relations Section..
    18. James J. Heckman & Alan B. Krueger, 2005. "Inequality in America: What Role for Human Capital Policies?," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262582600 edited by Benjamin M. Friedman, June.
    19. James Heckman & Pedro Carneiro, 2003. "Human Capital Policy," NBER Working Papers 9495, National Bureau of Economic Research, Inc.
    20. Edward P. Lazear, 1980. "Family Background and Optimal Schooling Decision," NBER Working Papers 0141, National Bureau of Economic Research, Inc.
    21. Hahn, Jinyong, 1995. "Bootstrapping Quantile Regression Estimators," Econometric Theory, Cambridge University Press, vol. 11(01), pages 105-121, February.
    22. Dewbre, Joe & Mishra, Ashok K., 2002. "Farm Household Incomes And U.S. Government Program Payment," 2002 Annual meeting, July 28-31, Long Beach, CA 19780, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    23. Joe Dewbre, 2006. "The Impact of Coupled and Decoupled Government Subsidies on Off-Farm Labor Participation of U.S. Farm Operators," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(2), pages 393-408.
    24. Dooley, Martin D & Gottschalk, Peter, 1984. "Earnings Inequality among Males in the United States: Trends and the Effect of Labor Force Growth," Journal of Political Economy, University of Chicago Press, vol. 92(1), pages 59-89, February.
    25. repec:ebl:ecbull:v:15:y:2006:i:13:p:1-10 is not listed on IDEAS
    26. Mishra, Ashok K. & El-Osta, Hisham S. & Johnson, James D., 1999. "Factors Contributing To Earnings Success Of Cash Grain Farms," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 31(03), December.
    27. Ritzen, Jozef M & Winkler, Donald R, 1977. "The Production of Human Capital over Time," The Review of Economics and Statistics, MIT Press, vol. 59(4), pages 427-37, November.
    28. Breusch, T S & Pagan, A R, 1979. "A Simple Test for Heteroscedasticity and Random Coefficient Variation," Econometrica, Econometric Society, vol. 47(5), pages 1287-94, September.
    29. Mincer, Jacob & Polachek, Solomon, 1974. "Family Investment in Human Capital: Earnings of Women," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages S76-S108, Part II, .
    30. Smith, Richard J & Blundell, Richard W, 1986. "An Exogeneity Test for a Simultaneous Equation Tobit Model with an Application to Labor Supply," Econometrica, Econometric Society, vol. 54(3), pages 679-85, May.
    31. Duncan, Otis Dudley, 1974. "Family Investments in Human Capital: Earnings of Women: Comment," Journal of Political Economy, University of Chicago Press, vol. 82(2), pages S109-S110, Part II, .
    32. Rivers, Douglas & Vuong, Quang H., 1988. "Limited information estimators and exogeneity tests for simultaneous probit models," Journal of Econometrics, Elsevier, vol. 39(3), pages 347-366, November.
    33. Kathryn Wilson, 2001. "The Determinants of Educational Attainment: Modeling and Estimating the Human Capital Model and Education Production Functions," Southern Economic Journal, Southern Economic Association, vol. 67(3), pages 518-551, January.
    34. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
    35. Parker, Timothy S., 2007. "Policy Options for a Changing Rural America," Amber Waves, United States Department of Agriculture, Economic Research Service, May.
    36. M. -Y. Chen & F. -L. Lin & C. -K. Chang, 2009. "Relations between health care expenditure and income: an application of local quantile regressions," Applied Economics Letters, Taylor & Francis Journals, vol. 16(2), pages 177-181.
    37. Michelle L. Barnes & Anthony W. Hughes, 2002. "A quantile regression analysis of the cross section of stock market returns," Working Papers 02-2, Federal Reserve Bank of Boston.
    38. Bruce L. Gardner, 2000. "Economic Growth and Low Incomes in Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(5), pages 1059-1074.
    39. Mary A. Marchant, 1997. "Bargaining Models for Farm Household Decision Making: Discussion," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 602-604.
    40. Mallar, Charles D, 1977. "The Estimation of Simultaneous Probability Models," Econometrica, Econometric Society, vol. 45(7), pages 1717-22, October.
    41. Frahan, Bruno Henry de & Nkunzimana, Tharcisse & De Blander, Rembert & Gaspart, Frederic & Sumner, Daniel A., 2008. "Farm Household Incomes And Reforming The Cap," 109th Seminar, November 20-21, 2008, Viterbo, Italy 44814, European Association of Agricultural Economists.
    42. David A. Green, 2007. "A Cautionary Discussion about Relying on Human Capital Policy to Meet Redistributive Goals," Canadian Public Policy, University of Toronto Press, vol. 33(4), pages 397-418, December.
    43. Gary S. Becker, 1962. "Investment in Human Capital: A Theoretical Analysis," Journal of Political Economy, University of Chicago Press, vol. 70, pages 9.
    44. Jacob Mincer & Solomon Polacheck, 1974. "Family Investments in Human Capital: Earnings of Women," NBER Chapters, in: Economics of the Family: Marriage, Children, and Human Capital, pages 397-431 National Bureau of Economic Research, Inc.
    45. Theodore W. Schultz, 1960. "Capital Formation by Education," Journal of Political Economy, University of Chicago Press, vol. 68, pages 571.
    46. Pence Karen M., 2006. "The Role of Wealth Transformations: An Application to Estimating the Effect of Tax Incentives on Saving," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 5(1), pages 1-26, July.
    47. Daniele Checchi, 2005. "Heckman, J., and Krueger, A.: Inequality in America – What Role for Human Capital Policies?," Journal of Economics, Springer, vol. 86(1), pages 85-89, October.
    48. Robert Gibbs & John Cromartie, 2007. "Education's Effect on Poverty: The Role of Migration ," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(3), pages 437-445.
    49. Nigel Key & Michael J. Roberts, 2009. "Nonpecuniary Benefits to Farming: Implications for Supply Response to Decoupled Payments," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(1), pages 1-18.
    50. Craig Gundersen & Susan Offutt, 2005. "Farm Poverty and Safety Nets," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(4), pages 885-899.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:ags:arerjl:106062. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.