IDEAS home Printed from https://ideas.repec.org/p/ags/nc2002/132369.html
   My bibliography  Save this paper

Financial Management Practices and Farm Profitability

Author

Listed:
  • Gloy, Brent A.
  • LaDue, Eddy L.

Abstract

The relationship between the adoption of several basic farm financial management practices and financial performance is examined for 137 New York dairy farms. Data were gathered from farm business summary participants to understand the capital acquisition practices, business analysis techniques, and capital investment decision making processes used by these farms. The paper provides estimates regarding the adoption of various financial management practices. The results suggest that the adoption of financial management practices such as using investment analysis techniques significantly impact farm financial performance.

Suggested Citation

  • Gloy, Brent A. & LaDue, Eddy L., 2002. "Financial Management Practices and Farm Profitability," 2002 Regional Committee NC-221, October 7-8, 2002, Denver, Colorado 132369, Regional Research Committee NC-1014: Agricultural and Rural Finance Markets in Transition.
    • Handle: RePEc:ags:nc2002:132369
    DOI: 10.22004/ag.econ.132369
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/132369/files/Gloy2002.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.132369?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Gloy, Brent A. & Hyde, Jeffrey & LaDue, Eddy L., 2002. "Dairy Farm Management and Long-Term Farm Financial Performance," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 31(2), pages 1-15, October.
    2. Knoblauch, Wayne A. & Putnam, Linda D. & Karszes, Jason, 2001. "Dairy Farm Management: Business Summary, New York State, 2000," Research Bulletins 122646, Cornell University, Department of Applied Economics and Management.
    3. Haden, Kimberly L. & Johnson, Larry A., 1989. "Factors Which Contribute To The Financial Performance Of Selected Tennessee Dairies," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 21(1), pages 1-8, July.
    4. Knoblauch, Wayne A. & Putnam, Linda D., 2001. "Dairy Farm Business Summary: Eastern New York Renter Summary, 2000," EB Series 122280, Cornell University, Department of Applied Economics and Management.
    5. Gloy, Brent A. & Hyde, Jeffrey & LaDue, Eddy L., 2002. "Dairy Farm Management and Long-Term Farm Financial Performance," Agricultural and Resource Economics Review, Cambridge University Press, vol. 31(2), pages 233-247, October.
    6. Featherstone, Allen M. & Langemeier, Michael R. & Ismet, Mohammad, 1997. "A Nonparametric Analysis of Efficiency for a Sample of Kansas Beef Cow Farms," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 29(1), pages 175-184, July.
    7. Haden, Kimberly L. & Johnson, Larry A., 1989. "Factors Which Contribute to the Financial Performance of Selected Tennessee Dairies," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 21(1), pages 105-112, July.
    8. Steven T. Sonka & Robert H. Hornbaker & Michael A. Hudson, 1989. "Managerial Performance and Income Variability for a Sample of Illinois Cash Grain Producers," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 11(1), pages 37-47.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yeager, Elizabeth & Langemeier, Michael, 2009. "Measuring Sustained Competitive Advantage for a Sample of Kansas Farms," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2009, pages 1-12.
    2. Eric T. Micheels & Hamish R. Gow, 2015. "The Effect of Market Orientation on Learning, Innovativeness, and Performance in Primary Agriculture," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 63(2), pages 209-233, June.
    3. Lai, John & Olynk Widmar, Nicole J. & Gunderson, Michael A. & Widmar, David A. & Ortega, David L., 2018. "Prioritization of farm success factors by commercial farm managers," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 21(6), July.
    4. Adhikari, Arun & Mishra, Ashok K. & Chintawar, Sachin, 2009. "Adoption of Technology and Its Impact on Profitability of Young and Beginning Farmers: A Quantile Regression Approach," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46830, Southern Agricultural Economics Association.
    5. Jeffrey Hyde & Lisa Holden & Richard Stup, 2008. "The Effect of Human Resource Management Practices on Farm Profitability: An Initial Assessment," Economics Bulletin, AccessEcon, vol. 17(12), pages 1-10.
    6. Joo, Hyunjeong & Khanal, Aditya R. & Mishra, Ashok K., 2013. "Farmers’ Participation in Agritourism: Does It Affect the Bottom Line?," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 42(3), pages 1-20, December.
    7. repec:ebl:ecbull:v:17:y:2008:i:12:p:1-10 is not listed on IDEAS
    8. Foreman, Linda F. & Livezey, Janet S., 2003. "Factors Contributing To Financially Successful Southern Rice Farms," 2003 Annual Meeting, February 1-5, 2003, Mobile, Alabama 35215, Southern Agricultural Economics Association.
    9. Shockley, Jordan M. & Osborne, William A. & Dillon, Carl R. & Pierce, Jerry S., 2016. "A Two-Tiered Benchmarking Analysis for Cost Management," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2016.
    10. Shockley, Jordan M. & Osborne, William A. & Dillon, Carl R. & Pierce, Jerry S., 2016. "A Two-Tiered Benchmarking Analysis for Cost Management," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2015, pages 1-14.
    11. El-Osta, Hirsham S. & Johnson, James, 1998. "Determinanats of Financial Performance of Commercial Dairy Farms," Technical Bulletins 184378, United States Department of Agriculture, Economic Research Service.
    12. Mishra, Ashok K. & El-Osta, Hisham S. & Johnson, James D., 1999. "Factors Contributing To Earnings Success Of Cash Grain Farms," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 31(3), pages 1-15, December.
    13. Dressler, Jonathan B. & Tauer, Loren W., 2011. "Revealing an Equitable Income Allocation among Dairy Farm Partnerships," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 102116, Agricultural and Applied Economics Association.
    14. Łukasz Kryszak & Marta Guth & Bazyli Czyżewski, 2021. "Determinants of farm profitability in the EU regions. Does farm size matter?," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(3), pages 90-100.
    15. Babetskaya, Lyubov, 2001. "Enhancing The Performance Of Risk-Rating Models At Community Banks," 2001 Annual meeting, August 5-8, Chicago, IL 20690, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Rodica Chetroiu & Ana Elena Cișmileanu & Elena Cofas & Ionut Laurentiu Petre & Steliana Rodino & Vili Dragomir & Ancuța Marin & Petruța Antoneta Turek-Rahoveanu, 2022. "Assessment of the Relations for Determining the Profitability of Dairy Farms, A Premise of Their Economic Sustainability," Sustainability, MDPI, vol. 14(12), pages 1-17, June.
    17. du Toit, J.P. & Ortmann, Gerald F. & Ramroop, S., 2010. "Factors influencing the long-term competitiveness of commercial milk producers: evidence from panel data in East Griqualand, South Africa," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 49(1), pages 1-22, March.
    18. Wheeler, Sarah Ann & Zuo, Alec & Bjornlund, Henning, 2014. "Investigating the delayed on-farm consequences of selling water entitlements in the Murray-Darling Basin," Agricultural Water Management, Elsevier, vol. 145(C), pages 72-82.
    19. El-Osta, Hisham S. & Mishra, Ashok K., 2005. "Dimensions of Wealth Dispersion Among Farm Operator Households: An Assessment of the Impact of Farm Subsidies," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 37(1), pages 187-208, April.
    20. Kuster, Christian & Álvarez, Jorge & Lezcano, Mikaela & Álvarez-Vaz, Ramón Dr., 2022. "Desempeño Económico De Las Empresas Agropecuarias Uruguayas: Estudio Sobre Su Evolución A Través De La Técnica De Clústers Longitudinales A Partir De Datos Contables (Economic Performance Of Uruguayan," OSF Preprints p8zk9, Center for Open Science.
    21. Jack, Kevin E. & Knoblauch, Wayne A. & Novakovic, Andrew M., 1992. "Characteristics and Performance of New York Dairy Farms," Research Bulletins 123084, Cornell University, Department of Applied Economics and Management.

    More about this item

    Keywords

    Agricultural Finance; Farm Management;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:nc2002:132369. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aesukea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.