Desigualdade de renda na agricultura: o efeito da posse da terra
This paper analyses the effects of agricultural income determinants, in particular of human capital and physical capital. One of its purposes is to evaluate the possible overestimation of the effect of education in income equations that do not include any measure of wealth. Besides all the variables usually considered in earnings equations adjusted to the primary sector, we have included the area of the agricultural enterprise (as a proxy for wealth). The results show the enormous effect of area on agricultural income. When this variable is included in the regression, we see a substantial decrease in the influence of education on income determination. Such decrease indicates an overestimation of the education’s effect in studies that do not include an appropriate measure of physical capital.
Volume (Year): 4 (2003)
Issue (Month): 1 (January-June)
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