What Influences Farm Size Growth? An Illustration in Southwestern France

Abstract

Farm size in industrialized countries grew significantly over the second half of the twentieth century. Using several econometric models, this article examines factors that influence farm size, the probability of an increase in farm size, and the intensity of farm growth. We find that farm structural characteristics, farmer's age, the existence of a successor, and spatial factors approximating urban influences have a significant impact on farm size, whereas human capital variables do not. This study considers a representative sample of 5,000 professional farms in the Midi‐Pyrénées region between 2000 and 2007.

Factors affecting farm growth intentions of family farms in mountain regions: Empirical evidence for Central Switzerland

“…Based on the coefficients of our regression models, we conclude that farm growth intentions are influenced primarily by structural characteristics such as relative farm size change in the past, current farm size and sunk costs proxied in our survey with stated overcapacities. This corresponds with our expectations since these factors are also decisive when analyzing observed farm structural change in general (Akimowicz et al, 2013, Breustedt and Glauben, 2007, Weiss, 1999 and also correspond with recent studies that assess future intentions of farmers under different policy settings and scenarios (e.g. Bartolini and Viaggi, 2013, Bougherara and Latruffe, 2010, Latruffe et al, 2013, Lobley and Butler, 2010, O'Donnell et al, 2011, Raggi et al, 2013.…”

“…Existing literature on ex-post analysis of structural change rooted in economic theory suggests multiple factors that influence the allocation of production factors, in particular the allocation of labor (reviews in Buchenrieder et al, 2007, Mann, 2003b, Zimmermann et al, 2009. In general, there are multiple drivers behind these processes including economic growth as a whole, adoption of new technology, off-farm employment, human (managerial) capital, market structure, investment constraints, social networks, as well as the existing policy environment (Akimowicz et al, 2013, Breustedt and Glauben, 2007, Chavas, 2001, Huettel and Margarian, 2009, Margarian, 2007, Storm et al, 2014, Weiss, 1999, Zimmermann and Heckelei, 2012.…”

“…The dependent variable is defined by a stated intention to increase farm size (in ha) or to increase family labor input for on-farm diversification. Variables in our study have been selected following the literature in the field (Akimowicz et al, 2013, Breustedt and Glauben, 2007, Chavas, 2001, Weiss, 1999, Zimmermann and Heckelei, 2012, as well as publications that have addressed the case of Switzerland in particular (Baltensweiler and Erdin, 2005, Baur, 1999, Mann, 2003a, Mann, 2003b. These variables had also been used in different combinations to assess stated intentions with respect to farm exits (Latruffe et al, 2013, Raggi et al, 2013, farm size change (Bartolini and Viaggi, 2013), structural change (Barnes et al, 2014, Lobley and Butler, 2010, O'Donnell et al, 2011 and fallow land (Bougherara and Latruffe, 2010).…”

Portuguese farming firms´ growth: do human capital and managerial capabilities matter?

“…Rizov and Mathijs (2003) found that an increase in human capital improves the effectiveness of farm operators in adopting new technologies, which can explain higher growth and survival rates. More recently, D' Amico et al (2013) argue that farming firms performance is related to the quality of human capital, while Akimowicz et al (2013) concluded that farmer-specific characteristics as a measure for human capital do not play a role on farm's size and growth. Villatoro and Langemeier (2006) also examined the factors that have impact on farm growth.…”

Farmer’s Individual Potential in Different Farm Sizes of Local Beef Cattle Farming in Kebumen Regency, Indonesia

“…The enlargement of farm size of Kebumen PO cattle requires the improvement of technological mastery, provision of production input and provision of manpower abilities. Akimowicz et al (2013) state that age and experience as the farmer's individual potential variables influence the development of business scale. In addition, Ndege (2015) state education and training, skill and technology, and capital availability influence the development of small scale business.…”