Decomposition of Income Distribution Among Farm Families

Findeis, Jill L.; Reddy, Venkateshwar K.

doi:10.1017/s0899367x00001495

Cited by 32 publications

(19 citation statements)

References 8 publications

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“…Moreover, using weighted data allows possible bias due to the comparison between unbalanced samples to be greatly reduced. Lastly, it must be noted that the presence of farms with negative incomes does not affect the reliability and the accuracy of the Gini coefficient, since the average income of the sample is positive (Findeis and Reddy 1987;Pyatt et al 1980). The following variables are taken into account for the empirical analyses:…”

Section: Datamentioning

confidence: 99%

The CAP 2013 reform of direct payments: redistributive effects and impacts on farm income concentration in Italy

Ciliberti

Frascarelli

2018

Agric Econ

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The Common Agricultural Policy has traditionally provided support to farm incomes via direct payments under the Single Payment Scheme. This article analyzes whether the reform of the SPS will decrease the concentration of direct payments and evaluates the effect of the new direct payment scheme on the redistribution of farm incomes. The decomposition of the Gini coefficient allows analysis of the evolution of farm income and direct payment distributions in Italy from 2014 to 2020, and empirical results based on the Italian Farm Accountancy Data Network show that the CAP 2013 reform is expected to decrease the concentration of direct payments. However, the reform is also expected to limit the reduction in farm income inequality due to the adoption of a partial convergence model (the so-called "tunnel" model) instead of a total convergence model as well as, more generally, the increasing share of farm income that is dependent on increased market exposure, leading to higher risks of price volatility and increasing pressure on income.

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Section: Datamentioning

confidence: 99%

The CAP 2013 reform of direct payments: redistributive effects and impacts on farm income concentration in Italy

Ciliberti

Frascarelli

2018

Agric Econ

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“…Studies by Larson and Carlin (1974) and by Ahearn, Johnson, and Strickland (1985), for example, examined the economic well-being of farm households in the United States by assessing the extent of disparity in the size distributions of income and/or wealth. Findeis and Reddy (1987) and Reddy, Findeis, and Hallberg (1988) measured the inequality in the distribution of income for farm families, by region, using the 1995 Current Population Survey. Boisvert and Ranney (1990) measured income inequality for New York dairy farmers using the concept of the Gini coefficient with adjustment for the presence of negative incomes.…”

Section: Literature Reviewmentioning

confidence: 99%

Welfare Decomposition in the Context of the Life Cycle of Farm Operators: What Does a National Survey Reveal?

El‐Osta

Morehart

2009

Agric. resour. econ. rev.

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This paper examines the role of the life cycle in impacting the distribution of a combined income and wealth measure using data from the 2001 and 2006 Agricultural Resource Management Survey. Such an assessment is made using both graphical representation of the distribution of the well-being measure along with utilization of the social welfare decomposition procedure. Results show a mild yet statistically insignificant improvement in the distribution of the economic measure over the five-year period. Contribution to social welfare is found highest among the cohort where the age of the head of household is between 45 and 54 years. Targeted programs are found to enhance social welfare if they are aimed towards cohorts where the age of the head of household is younger than 35 years or where the age of the head of household is in the 35-to-44 age group, depending on whether the analysis is based on a perfarm household or on a per-capita basis.

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“…The closing of the income gap in recent years between farm and nonfarm households in the United States has been attributed to this growth in off‐farm earnings. Nearly 80% of total farm household income now originates from off‐farm sources, with income from off‐farm wages and salaries being the primary component (Ahearn et al, 1985; Ahearn et al, 1993; Findeis and Reddy, 1987).…”

Section: Introductionmentioning

confidence: 99%

Determinants of economic well‐being among U.S. farm operator households

El‐Osta

Mishra

Morehart

2007

Agricultural Economics

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Participation in government programs has a mild impact on the economic well-being of U.S. farm households. Major factors that determine farm household prosperity are the primary operator's education level and ethnicity, education level of the spouse, and other characteristics such as forward purchasing of inputs, use of contract shipping of products, having a succession plan, farm ownership, and location in a metro area. This article uses the 2001 Agricultural Resource Management Survey (ARMS) as well as relative and an absolute measure to assess U.S. farm households' economic well-being. The relative measure compares the income and wealth position of farm households relative to median income and median wealth of the general population. The absolute measure adds annualized wealth to a farm household's income. Copyright 2007 International Association of Agricultural Economists.

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Decomposition of Income Distribution Among Farm Families

Cited by 32 publications

References 8 publications

The CAP 2013 reform of direct payments: redistributive effects and impacts on farm income concentration in Italy

The CAP 2013 reform of direct payments: redistributive effects and impacts on farm income concentration in Italy

Welfare Decomposition in the Context of the Life Cycle of Farm Operators: What Does a National Survey Reveal?

Determinants of economic well‐being among U.S. farm operator households

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