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Can off farm employment affect the privatization of social safety net? The case of self-employed farm households

  • Mishra, Ashok K.
  • Chang, Hung-Hao

This study uses a two-stage econometric framework with farm household level data to investigate whether off-farm work of operators and spouses influences healthcare expenditures and retirement savings. Results indicate that agricultural policy discourages off-farm work by farm operators and spouses. However, off-farm work decisions of farm couples significantly decrease healthcare expenditures and increase retirement savings of farm households in the US. The effect of farm spouse’s off-farm employment on household retirement saving is more pronounced. These conclusions can extend to middle-income countries where off-farm work may enable farmers to afford better healthcare and retirement pension plans.

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Article provided by Elsevier in its journal Food Policy.

Volume (Year): 37 (2012)
Issue (Month): 1 ()
Pages: 94-101

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Handle: RePEc:eee:jfpoli:v:37:y:2012:i:1:p:94-101
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