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The Off-Farm Labor Supply of Farmers

Author

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  • Daniel A. Sumner

Abstract

Theoretical and empirical models are developed to examine the off-farm wages, labor force participation, and hours of work of farmers. Econometric estimates use data from a 1971 survey of Illinois farmers. The off-farm wage depends on farmer human capital and the local labor market. The major result confirms the. sensitivity of off-farm work to economic incentives. A 10% increase in the off-farm wage entails an 11% increase in hours of off-farm work holding farm characteristics constant. Results also indicate effects of seasonality, risk, and life cycle factors on off-farm work.

Suggested Citation

  • Daniel A. Sumner, 1982. "The Off-Farm Labor Supply of Farmers," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(3), pages 499-509.
  • Handle: RePEc:oup:ajagec:v:64:y:1982:i:3:p:499-509.
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    Cited by:

    1. Huffman, Wallace E., 1996. "Farm Labor: Key Conceptual and Measurement Issues on the Route to Better Farm Cost and Return Estimates," ISU General Staff Papers 199604010800001279, Iowa State University, Department of Economics.
    2. Huffman, Wallace E. & El-Osta, Hisham, 1997. "Off-Farm Work Participation, Off-Farm Labor Supply and On-Farm Labor Demand of U.S. Farm Operators," ISU General Staff Papers 199712010800001290, Iowa State University, Department of Economics.
    3. Ayal Kimhi, 2004. "Family Composition and Off-Farm Participation Decisions in Israeli Farm Households," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(2), pages 502-512.
    4. Sumon Kumar Bhaumik & Ralitza Dimova & Jeffrey B. Nugent, 2006. "Pulls, Pushes and Entitlement Failures in Labor Markets: Does the State of Development Matter?," CEDI Discussion Paper Series 06-07, Centre for Economic Development and Institutions(CEDI), Brunel University.
    5. Riesco, Alfredo G., 1990. "Adoption of improved livestock production practices in the Peruvian Amazonia: an econometric analysis," ISU General Staff Papers 1990010108000010885, Iowa State University, Department of Economics.
    6. repec:gam:jagris:v:8:y:2018:i:3:p:41-:d:136364 is not listed on IDEAS
    7. Huffman, Wallace E. & El-Osta, Hisham S., 1998. "Off-Farm Work Participation, Off-Farm Labor Supply And On-Farm Labor Demand Of U.S. Farm Operators," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20846, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Catherine Benjamin & Hervé Guyomard & Michel Sollogoub, 2017. "L'offre de travail des femmes. Application à l'agriculture française," Working Papers hal-01594108, HAL.
    9. Athanasios P. Papadopoulos & Gregory T. Papanikos, 2005. "The determinants of vinegrowers employment and policy implications: the case of a Greek island," Agricultural Economics, International Association of Agricultural Economists, vol. 32(1), pages 61-72, January.
    10. Catherine Benjamin & Ayal Kimhi, 2006. "Farm work, off-farm work, and hired farm labour: estimating a discrete-choice model of French farm couples' labour decisions," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 33(2), pages 149-171, June.
    11. Kimhi, Ayal, 1996. "Off-Farm Work Decisions of Farmers Over the Life Cycle: Evidence from Panel Data," Working Papers 232798, Hebrew University of Jerusalem, Center for Agricultural Economic Research.
    12. Tocco, Barbara & Bailey, Alastair & Davidova, Sophia & Raimondi, Valentina, 2015. "Women and Part-Time Farming: Understanding Labor Supply Decisions in Italian Farm Households," 2015 Conference, August 9-14, 2015, Milan, Italy 211932, International Association of Agricultural Economists.
    13. Lili Jia & Martin Petrick, 2014. "How does land fragmentation affect off-farm labor supply: panel data evidence from China," Agricultural Economics, International Association of Agricultural Economists, vol. 45(3), pages 369-380, May.
    14. Weersink, Alfons & Nicholson, Charles & Weerhewa, Jeeveka, 1998. "Multiple job holdings among dairy farm families in New York and Ontario," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 18(2), March.
    15. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair, 2016. "Part-Time Farming in Italy: Does Farm Size Really Matter?," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236291, Agricultural Economics Society.
    16. Tao Yang, Dennis, 1997. "China's land arrangements and rural labor mobility," China Economic Review, Elsevier, vol. 8(2), pages 101-115.
    17. Shaikh M.S.U. Eskander & Edward B. Barbier & Benjamin Gilbert, 2018. "Fishing and Nonfishing Income Decisions: The Role of Human Capital and Family Structure," Land Economics, University of Wisconsin Press, vol. 94(1), pages 114-136.
    18. Thomas W. Hertel & Uris Lantz C. Baldos & Dominique van der Mensbrugghe, 2016. "Predicting Long-Term Food Demand, Cropland Use, and Prices," Annual Review of Resource Economics, Annual Reviews, vol. 8(1), pages 417-441, October.
    19. Wang, Xiaobing, 2007. "Labor market behavior of Chinese rural households during transition," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 42, number 92321.
    20. Huffman, Wallace E., 1990. "Local Labor Market Conditions: Effects on Labor Demand and Wage Labor Supply Decisions of Farm and Rural Nonfarm Couples, 1978-82," ISU General Staff Papers 199006170700001212, Iowa State University, Department of Economics.
    21. Thia C. Hennessy & Tahir Rehman, 2008. "Assessing the Impact of the 'Decoupling' Reform of the Common Agricultural Policy on Irish Farmers' Off-farm Labour Market Participation Decisions," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(1), pages 41-56, February.
    22. Catherine Benjamin & Herve Guyomard, 1992. "Joint decision in labour supply and demand behaviour : an analysis of French agricultural households," Post-Print hal-01600870, HAL.
    23. Huffman, Wallace E., 1985. "Changes in Human Capital, Technology, and Institutions: Implications for Policy and Research," 1985 Conference, August 26-September 4, 1985, Malaga, Spain 183054, International Association of Agricultural Economists.
    24. Schulz-Greve, W., 1994. "Anpassungspotenziale im institutionellen Kontext des landwirtschaftlichen Haushaltes – eine mikroökonomische Analyse von Zeitallokationsstrukturen," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 0.

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