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Job Preferences of Dairy Farmers in Eastern Switzerland: A Discrete Choice Experiment

Author

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  • Lips, Markus
  • Gazzarin, Christian
  • Telser, Harry

Abstract

Using a discrete choice experiment and a mixed-effects logit model, this article analyses the job preferences of 300 dairy farmers in the eastern part of Switzerland who intend to stay in milk production. The results show that a shift to suckler cow husbandry plus additional employment or to a job completely outside of agriculture would only be considered by dairy farmers in exchange for compensation of around 52,900 Swiss francs (CHF), equal to one-and-a-half times the annual on-farm income of a full-time family work unit. At CHF 45,800, the compensation required for farming without cattle is slightly lower, whilst giving up self-employment would require compensation of CHF 32,300. Dairy farmers would be willing to sacrifice around one-fifth of their annual income for an additional week’s holiday, which shows how precious leisure time is for them. Overall, we conclude that the farmers interviewed are passionate about dairy production and that they clearly prefer to remain self-employed. Accordingly, there is evidence that these dairy farmers have substantial non-pecuniary job preferences.

Suggested Citation

  • Lips, Markus & Gazzarin, Christian & Telser, Harry, 2016. "Job Preferences of Dairy Farmers in Eastern Switzerland: A Discrete Choice Experiment," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 65(04), December.
    • Handle: RePEc:ags:gjagec:284982
    DOI: 10.22004/ag.econ.284982
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    Citations

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    Cited by:

    1. Zorn, Alexander & Zimmert, Franziska, 2020. "Structural adjustment of Swiss dairy farms - farm exit and farm type change," 60th Annual Conference, Halle/ Saale, Germany, September 23-25, 2020 305605, German Association of Agricultural Economists (GEWISOLA).
    2. Alexander Zorn & Franziska Zimmert, 2022. "Structural change in the dairy sector: exit from farming and farm type change," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 10(1), pages 1-31, December.
    3. Bartosz Bartkowski & Stephan Bartke, 2018. "Leverage Points for Governing Agricultural Soils: A Review of Empirical Studies of European Farmers’ Decision-Making," Sustainability, MDPI, vol. 10(9), pages 1-27, September.
    4. Benedikt Kramer & Anke Schorr & Reiner Doluschitz & Markus Lips, 2019. "Short and medium-term impact of dairy barn investment on profitability and herd size in Switzerland," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 65(6), pages 270-277.
    5. Zorn, Alexander & Zimmert, Franziska, 2020. "Structural adjustment of Swiss dairy farms - farm exit and farm type change," 60th Annual Conference, Halle/ Saale, Germany, September 23-25, 2020 305605, German Association of Agricultural Economists (GEWISOLA).
    6. Herrera, B. & Gerster-Bentaya, M. & Knierim, A., 2018. "Farm-level factors influencing farmers satisfaction with their work," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277024, International Association of Agricultural Economists.
    7. Beatriz Herrera Sabillón & Maria Gerster‐Bentaya & Andrea Knierim, 2022. "Measuring farmers' well‐being: Influence of farm‐level factors on satisfaction with work and quality of life," Journal of Agricultural Economics, Wiley Blackwell, vol. 73(2), pages 452-471, June.

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