[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/eps/fmwppr/157.html
   My bibliography  Save this paper

The Reallocation of Agricultural Labour across Sectors: An Empirical Strategy for Micro Data

Author

Listed:
  • Tocco,Barbara
  • Bailey, Alastair
  • Davidova, Sophia
Abstract
This paper presents an empirical methodology for studying the reallocation of agricultural labour across sectors from micro data. Whereas different approaches have been employed in the literature to better understand the mobility of labour, looking at the determinants to exit farm employment and enter off-farm activities, the initial decision of individuals to work in agriculture, as opposed to other sectors, has often been neglected. The proposed methodology controls for the selectivity bias, which may arise in the presence of a non-random sample of the population, in this context those in agricultural employment, which would lead to biased and inconsistent estimates. A 3-step multivariate probit with two selection and one outcome equations constitutes the selected empirical approach to explore the determinants of farm labour to exit agriculture and switch occupational sector. The model can be used to take into account the different market and production structures across European member states on the allocation of agricultural labour and its adjustments.

Suggested Citation

  • Tocco,Barbara & Bailey, Alastair & Davidova, Sophia, 2013. "The Reallocation of Agricultural Labour across Sectors: An Empirical Strategy for Micro Data," Factor Markets Working Papers 157, Centre for European Policy Studies.
    • Handle: RePEc:eps:fmwppr:157
    as

    Download full text from publisher

    File URL: http://www.factormarkets.eu/system/files/FM%20WP45%20Reallocation%20of%20Farm%20Labour.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Joakim Gullstrand & Kerem Tezic, 2008. "Who leaves after entering the primary sector? Evidence from Swedish micro-level data," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 35(1), pages 1-28, March.
    2. A Corsi & JL Findeis, 2000. "True state dependence and heterogeneity in off-farm labour participation," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 27(2), pages 127-151, June.
    3. Huffman, Wallace E, 1980. "Farm and Off-Farm Work Decisions: The Role of Human Capital," The Review of Economics and Statistics, MIT Press, vol. 62(1), pages 14-23, February.
    4. Florin P. Vadean & Matloob Piracha, 2009. "Circular Migration or Permanent Return: What Determines Different Forms of Migration?," Studies in Economics 0912, School of Economics, University of Kent.
    5. H Ingham & M Ingham, 2005. "Labour flows into and out of Polish agriculture: a micro-level analysis," Working Papers 563462, Lancaster University Management School, Economics Department.
    6. Štefan Bojnec & Liesbeth Dries, 2005. "Causes of Changes in Agricultural Employment in Slovenia: Evidence from Micro‐data," Journal of Agricultural Economics, Wiley Blackwell, vol. 56(3), pages 399-416, December.
    7. Luka Juvančič & Emil Erjavec, 2005. "Intertemporal analysis of employment decisions on agricultural holdings in Slovenia," Agricultural Economics, International Association of Agricultural Economists, vol. 33(2), pages 153-161, September.
    8. A. Colin Cameron & Pravin K. Trivedi, 2010. "Microeconometrics Using Stata, Revised Edition," Stata Press books, StataCorp LP, number musr, March.
    9. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair, 2014. "Labour adjustments in agriculture: evidence from Romania," Studies in Agricultural Economics, Research Institute for Agricultural Economics, vol. 116(2), pages 1-7, August.
    10. A. Kimhi, 1994. "Participation Of Farm Owners In Farm And Off‐Farm Work Including The Option Of Full‐Time Off‐Farm Work," Journal of Agricultural Economics, Wiley Blackwell, vol. 45(2), pages 232-239, May.
    11. Van de Ven, Wynand P. M. M. & Van Praag, Bernard M. S., 1981. "The demand for deductibles in private health insurance : A probit model with sample selection," Journal of Econometrics, Elsevier, vol. 17(2), pages 229-252, November.
    12. Heckman, James, 2013. "Sample selection bias as a specification error," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 31(3), pages 129-137.
    13. Pfeffer, Max J, 1989. "Part-time Farming and the Stability of Family Farms in the Federal Republic of Germany," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 16(4), pages 425-444.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Czyżewski, Bazyli & Poczta-Wajda, Agnieszka, 2017. "Wpływ polityki i rynku na relatywną deprywację dochodową czynnika pracy w rolnictwie," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 3(176).
    2. Czyżewski, Bazyli & Poczta-Wajda, Agnieszka, 2016. "Effects of Policy and Market on Relative Income Deprivation of Agricultural Labour," 160th Seminar, December 1-2, 2016, Warsaw, Poland 249759, European Association of Agricultural Economists.

    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. Tocco, Barbara & Bailey, Alastair & Davidova, Sophia, 2013. "Determinants to Leave Agriculture and Change Occupational Sector: Evidence from an Enlarged EU," Working papers 155704, Factor Markets, Centre for European Policy Studies.
    2. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair, 2014. "Labour adjustments in agriculture: evidence from Romania," Studies in Agricultural Economics, Research Institute for Agricultural Economics, vol. 116(2), pages 1-7, August.
    3. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair Creation-Date: 2012-02, "undated". "Key Issues in Agricultural Labour Markets: A Review of Major Studies and Project Reports on Agriculture and Rural Labour Markets," Factor Markets Working Papers 126, Centre for European Policy Studies.
    4. Tocco, Barbara & Bailey, Alastair & Davidova, Sophia & Raimondi, Valentina, 2015. "Women and Part-Time Farming: Understanding Labor Supply Decisions in Italian Farm Households," 2015 Conference, August 9-14, 2015, Milan, Italy 211932, International Association of Agricultural Economists.
    5. Thia C. Hennessy & Tahir Rehman, 2008. "Assessing the Impact of the ‘Decoupling’ Reform of the Common Agricultural Policy on Irish Farmers’ Off‐farm Labour Market Participation Decisions," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(1), pages 41-56, February.
    6. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair Creation-Date: 2012-02, "undated". "Supply and Demand Side Limitations Affecting the Structure of Agriculture and the Rural Economy," Factor Markets Working Papers 124, Centre for European Policy Studies.
    7. Tocco, Barbara & Davidova, Sophia & Bailey, Alastair, 2016. "Part-Time Farming in Italy: Does Farm Size Really Matter?," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236291, Agricultural Economics Society.
    8. Wang, Xiaobing, 2007. "Labor market behavior of Chinese rural households during transition," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 42, number 92321, September.
    9. Luo, Tianyuan & Escalante, Cesar, 2014. "Determinants of Occupational Changes of U.S. Migrant Farm Workers under Recessionary Times," 2014 Annual Meeting, February 1-4, 2014, Dallas, Texas 162415, Southern Agricultural Economics Association.
    10. Corsi, Alessandro & Salvioni, Cristina, 2017. "Once part-timer always part-timer? Causes for persistence in off farm work state of farmers," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 6(2), September.
    11. Peter Howley & Emma Dillon & Thia Hennessy, 2014. "It’s not all about the money: understanding farmers’ labor allocation choices," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 31(2), pages 261-271, June.
    12. Bjornsen, Hild-Marte, 1999. "Off-farm labour decisions of Norwegian farm Households," ERSA conference papers ersa99pa025, European Regional Science Association.
    13. Kaditi, Eleni A., 2013. "The Impact of CAP Reforms on Farm Labour Structure," Working papers 157914, Factor Markets, Centre for European Policy Studies.
    14. Donnellan, Trevor & Hennessy, Thia, 2012. "Defining a theoretical model of farm households’ labour allocation decisions," Factor Markets Working Papers 140, Centre for European Policy Studies.
    15. Kaditi, Eleni, 2013. "The Impact of CAP Reforms on Farm Labour Structure," Factor Markets Working Papers 177, Centre for European Policy Studies.
    16. Donnellan, Trevor & Hennessy, Thia C., 2012. "The Labour Allocation Decisions of Farm Households: Defining a theoretical model," Working papers 137021, Factor Markets, Centre for European Policy Studies.
    17. David H. Hearn & Kevin T. McNamara & Lewell Gunter, 1996. "Local Economic Structure And Off‐Farm Labour Earnings Of Farm Operators And Spouses," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1‐4), pages 28-36, January.
    18. Sarah Bridges & David Lawson, 2008. "Health and Labour Market Participation in Uganda," WIDER Working Paper Series DP2008-07, World Institute for Development Economic Research (UNU-WIDER).
    19. Fossen, Frank M. & König, Johannes, 2015. "Public health insurance and entry into self-employment," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 112934, Verein für Socialpolitik / German Economic Association.
    20. Wang, Xiaobing & Herzfeld, Thomas & Glauben, Thomas, 2007. "Labor allocation in transition: Evidence from Chinese rural households," China Economic Review, Elsevier, vol. 18(3), pages 287-308.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:eps:fmwppr:157. 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: Eleni Kaditi (email available below). General contact details of provider: https://edirc.repec.org/data/cepssbe.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.