Off-Farm Employment Decisions by Massachusetts Farm Households

Lass, Daniel A.; Findeis, Jill L.; Hallberg, M. C.

doi:10.1017/s0899367x00002014

Cited by 37 publications

(26 citation statements)

References 9 publications

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“…The correlation coefficient's lack of significance is consistent with other joint participation decision studies (Huffman and Lange;Lass, Findeis, and Hallberg 1989). Estimated cross-equation correlation was positive, 0.15, but not significantly different from zero (calculated t-statistic was 1.50).…”

Section: Participation Modelssupporting

confidence: 85%

The Supply of Off‐Farm Labor: A Random Coefficients Approach

Lass¹,

Gempesaw

1992

American J Agri Economics

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A joint model of off-farm labor decisions for farm operator and spouse is presented. Attention is given to operator and spouse participation decisions as well as associated problems of multiple sample selectivity biases. Two-stage fixed and random coefficient methods, corrected for possible selectivity biases, are used to estimate supply function parameters. Results indicate that supply function parameters are random. Variation in important supply parameters is investigated. Results also illustrate the importance of spouse decisions on off-farm labor supply function structure.

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Section: Participation Modelssupporting

confidence: 85%

The Supply of Off‐Farm Labor: A Random Coefficients Approach

Lass¹,

Gempesaw

1992

American J Agri Economics

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“…A 1999 study by Korb shows that younger, better-educated farmers and spouses are most likely to work off farm. In that the operator's age and education are both factors that are associated with offfarm employment have been empirically tested and supported in a number of studies (e.g., see Huffman, 1980;Huffman and Lange;Gould and Saupe;Lass, Findeis, and Hallberg;Gunter and McNamara;Lass and Gempesaw;Huffman and El-Osta;Corsi and Findeis;among others).…”

Section: Literature Reviewmentioning

confidence: 99%

Off-Farm Labor Participation Decisions of Married Farm Couples and the Role of Government Payments

El‐Osta

Mishra

Morehart

2008

Rev Agricultural Economics

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The determinants of off-farm work by married farm couples are examined using data from the 2004 Agricultural Resource Management Survey and multinomial logistic regression. Expected government payment is found important in decreasing the likelihood of off-farm work strategies involving work by the husband only or by both husband and wife relative to a strategy of no work by either husband or wife. The marginal impact of government payments on the probability of the wife working off farm alone is found positive suggesting the possibility of nonpecuniary motives for off-farm employment for 21% of farm households in the selected weighted sample.A recently published report by Mishra et al. has repudiated the generally held belief that farm households are financially disadvantaged compared with other U.S. households. Two other important observations were noted. First, farm households are no different than other households in pursuing two careers and in diversifying earnings. Second, more than half of all U.S. farm operators work off farm (with 80% of these working full-time jobs) and nearly half of all spouses also are employed off the farm. Ahearn and El-Osta have remarked that off-farm work can no longer be viewed as a transitional position between agricultural and the industrial economy, but rather as a lifestyle choice, with farming as a second job or investment. The fact that nearly 80% of total household income originates from off-farm sources, with income from off-farm wages and salaries being the Hisham S. El-Osta is an economist

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“…Education has a similar ambiguous effect on off-farm employment as age in that it is hypothesized to increase both farm labor productivity and the offfarm wage rate. However, previous studies have often found that an increase in the level of education increases the probability of working off the farm (Sumner 1982;Lass et al 1989;Gunter and McNamara 1990). As with age, education is measured by categorical variables according to the highest level of education attained: elementary school (EDELEM), some high school (EDSHS), completed high school (EDCHS), some college (EDSCLG), and at least a college diploma or university degree (EDUD).…”

Section: Canadian Journal Of Agricultural Economicsmentioning

confidence: 99%

“…Farm characteristics, K , will influence the value of on-farm labor productivity. Previous studies note the impact of different farming systems on the decision to work off the farm (Sumner 1982;Lass et al 1989;Gould and Saupe 1989). The reason for such a specification is that farming systems that demand extensive labor requirements will be less likely to have operators involved in off-farm employment.…”

Section: Canadian Journal Of Agricultural Economicsmentioning

confidence: 99%

Off‐farm Labor Decisions by Ontario Swine Producers

Weersink

1992

Canadian J Agri Economics

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The off‐farm employment decisions of Ontario swine producers are examined using household production theory. It is determined that human capital and farm characteristics have the largest impact on off‐farm labor participation. Increases in education are found to have a larger effect on market earnings than on the marginal value productivity of farm labor, thereby increasing the probability of off‐farm employment. The chances are also found to increase with an increase in relative financial obligations as measured by the debt‐to‐equity ratio. Years of farming experience and farm size have a negative impact on the probability of working off‐farm due to their positive relationship with marginal farm labor productivity. The results indicate that the trend to a bimodal farm size distribution will likely continue in the Ontario hog industry. Economic policies designed to increase family farm income may help weather fluctuations in farm income but will have little impact on off‐farm employment decisions. Les décisions de rechercher un emploi à l'extérieur chez les producteurs de porcs de l'Ontario ont été examinées selon la théorie de la production des ménages. On a constaté que c'est le capital humain et les caractéristiques de l'explotation qui exercent l'effet le plus fort sur le recours au travail extérieur. L'élévation du niveau de scolarité avait plus d'effet sur les gains obtenus à l'extérieur que sur la productivité de la main‐d'oeuvre de l'exploitation, augmentant ainsi d'autant la probabilité de rechercher un emploi extérieur. Ces chances augmentaient aussi avec l'accroissement des obligations financières relatives, mesurées par le ratio dette‐avoir propre. Le nombre d'années d'expérience en exploitation et la taille de l'entreprise avaient uneffet négatif sur la probabilité de travailler à l'extérieur, à cause de leur association positive avec la productivité marginale de la maind'oeuvre de l'exploitation. Ces résultats indiquent que la tendance à une distribution bimodale de la taille des exploitations devrait se poursuivre dans le secteur de l'élevage du porc en Ontario. Les politiques économiques destinées à améliorer le revenu des fermes familiales devraient les aider à surmonter les périodes de creux, mais elles n'auront que peu d'influence sur la décision de chercher un emploi à l'extérieur.

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Off-Farm Employment Decisions by Massachusetts Farm Households

Cited by 37 publications

References 9 publications

The Supply of Off‐Farm Labor: A Random Coefficients Approach

The Supply of Off‐Farm Labor: A Random Coefficients Approach

Off-Farm Labor Participation Decisions of Married Farm Couples and the Role of Government Payments

Off‐farm Labor Decisions by Ontario Swine Producers

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