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The Effect of Off-farm Work on the Intensity of Agricultural Production

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  • E. Phimister
  • D. Roberts

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Abstract

Changes in agricultural production methods have been associated with environmental pressure and a loss of natural habitats. This paper explores the extent to which farmer participation in off-farm work (an increasing phenomenon in most developed countries) changes the intensity of agricultural input use focusing, in particular, on fertilizer and crop protection product use. A sample selection model that accounts for both unobserved heterogeneity between farms and the potential simultaneity between farm operations and hours worked off-farm is estimated for 2,419 farms in England and Wales. The econometric evidence indicates that the input intensity of products which have well-established links to environmental damage can increase as well as decrease. The results suggest that that fertilizer intensity may decline as off-farm labor increases while the use of crop protection per hectare increases as off-farm work increases. Copyright Springer 2006

Suggested Citation

  • E. Phimister & D. Roberts, 2006. "The Effect of Off-farm Work on the Intensity of Agricultural Production," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 34(4), pages 493-515, August.
  • Handle: RePEc:kap:enreec:v:34:y:2006:i:4:p:493-515
    DOI: 10.1007/s10640-006-0012-1
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    References listed on IDEAS

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    1. repec:gam:jsusta:v:10:y:2018:i:2:p:498-:d:131701 is not listed on IDEAS
    2. Laure Latruffe & Stefan Mann, 2009. "Another look at the distribution of direct payments: The link with part-time farming," Working Papers SMART - LERECO 09-02, INRA UMR SMART-LERECO.
    3. repec:gam:jsusta:v:8:y:2016:i:2:p:186:d:64186 is not listed on IDEAS
    4. Mishra, Ashok K. & Chang, Hung-Hao, 2012. "Can off farm employment affect the privatization of social safety net? The case of self-employed farm households," Food Policy, Elsevier, vol. 37(1), pages 94-101.
    5. Chang, Hung-Hao & Wen, Fang-I, 2008. "Off-farm Work, Technical Efficiency, and Production Risk: Empirical Evidence from a National Farmer Survey in Taiwan," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6164, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Lien, Gudbrand D. & Kumbhakar, Subal C. & Hardaker, J. Brian, 2008. "Determinants Of Part-Time Farming And Its Effect On Farm Productivity And Efficiency," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6701, European Association of Agricultural Economists.
    7. Erik Biørn & Hild-Marte Bjørnsen, 2015. "What motivates farm couples to seek off-farm labour? A logit analysis of job transitions," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 42(2), pages 339-365.
    8. Bjornsen, Hild-Marte & Mishra, Ashok K., 2012. "Off-farm Employment and Farming Efficiency in Modern Agriculture: A Dynamic Panel Analysis," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124742, Agricultural and Applied Economics Association.
    9. Pandit, Mahesh & Paudel, Krishna P. & Mishra, Ashok K., 2013. "Do Agricultural Subsidies Affect the Labor Allocation Decision? Comparing Parametric and Semiparametric Methods," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(1), April.
    10. Chang, Hung-Hao & Mishra, Ashok K. & Livingston, Michael, 2011. "Agricultural policy and its impact on fuel usage: Empirical evidence from farm household analysis," Applied Energy, Elsevier, vol. 88(1), pages 348-353, January.
    11. Li Jiang & Zhihui Li, 2016. "Urbanization and the Change of Fertilizer Use Intensity for Agricultural Production in Henan Province," Sustainability, MDPI, Open Access Journal, vol. 8(2), pages 1-12, February.
    12. Kousar, Rakhshanda & Abdulai, Awudu, 2014. "Impact of non-farm work and land tenancy contracts on soil conservation measures," 88th Annual Conference, April 9-11, 2014, AgroParisTech, Paris, France 170522, Agricultural Economics Society.
    13. Gedikoglu, Haluk & McCann, Laura M.J. & Artz, Georgeanne M., 2011. "Off-Farm Employment Effects on Adoption of Nutrient Management Practices," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 40(2), August.
    14. Adebayo Shittu, 2014. "Off-farm labour supply and production efficiency of farm household in rural Southwest Nigeria," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 2(1), pages 1-21, December.
    15. Chang, Hung-Hao & Boisvert, Richard N., 2009. "Does Participation in the Conservation Reserve Program and/or Off-Farm Work Affect the Level and Distribution of Farm Household Income?," Working Papers 57035, Cornell University, Department of Applied Economics and Management.
    16. Chang, Hung-Hao & Boisvert, Richard N., 2009. "The Conservation Reserve Program, Off-Farm Work, and Farm Household Technical Efficiencies," Working Papers 57034, Cornell University, Department of Applied Economics and Management.
    17. repec:bla:deveco:v:55:y:2017:i:1:p:3-22 is not listed on IDEAS

    More about this item

    Keywords

    crop protection; farm household model; fertilizer; input intensity; multifunctionality; off-farm work; panel; Q53; Q12; Q24;

    JEL classification:

    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land

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