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The Off-Farm Labor Supply of Farmers

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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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