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Impact of Program Payments on Time Allocation and Farm Household Income

Published online by Cambridge University Press:  28 April 2015

Joe Dewbre  and
Ashok K. Mishra
Joe Dewbre
Affiliation:
Agricultural Directorate of the Organization for Economic Cooperation and Development
Ashok K. Mishra
Affiliation:
Department of Agricultural Economics and Agribusiness, Louisiana State University, Baton Rouge, LA
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Abstract

Using a model of farm household resource allocation and data from the USDA-ERS Agricultural Resource Management Survey (ARMS), this study compares the effects of various categories of farm program payments on time allocation by farm operators and spouses. Results suggest that agricultural market transition payments (AMTA) increase leisure hours of both farm operators and spouses. Loan deficiency payments (LDP) and payments that combine market loan assistance (MLA) and disaster payments are shown to reduce leisure. The study also finds that AMTA payments exhibit a much higher degree of income transfer efficiency than the LDP and MLA payments.

Keywords

Agricultural Resource Management Surveydecoupled paymentsgovernment programsincome transfer efficiencytime allocationD13J22Q12Q22
Type
Research Article
Information
Journal of Agricultural and Applied Economics , Volume 39 , Issue 3 , December 2007 , pp. 489 - 505
Copyright
Copyright © Southern Agricultural Economics Association 2007

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