Search results

The purpose of this article is to investigate how land tenure correlates with measures of profitability among young farmers and ranchers in the United States. The authors hypothesize that young producers who own a larger proportion of their operation face different incentives between short- and long-run returns than young producers who primarily rent their land. The authors analyze whether these differing incentives result in observable differences in various measures of profitability.

The authors use state-level data from the Agricultural Resource Management Survey (ARMS) from 2003 to 2018 to estimate fixed-effects panel models correlating land tenure with the value of farm production, expenditures on repairs and maintenance, net farm income, total operator household income from farming, rate of return on assets (ROA) and rate of return on equity (ROE).

The authors find different correlations for crop farms and livestock farms, as well as different correlations for farms with the lowest and highest gross sales. For crop farms, renting land is associated with higher production, higher income, higher ROA and higher ROE. For livestock farms, renting land is associated with lower production.

This study rigorously investigates the role of land tenure specifically among young farmers and ranchers in the United States. By better understanding how land ownership affects profitability among beginning farmers and ranchers, policymakers will be able to better target public resources to support the next generation of producers.

This study seeks to identify and highlight the factors that hinder or favor young farmers in the quest to abide in the agricultural profession and to draw policy directions and axes of action to address the problem.

The study used a triangulation research approach with quantitative and qualitative methodologies. In total, 222 structured questionnaires and 9 personal interviews constituted the survey's data collection tools.

The results revealed a distinctive distribution of competencies. On the one hand, personal and entrepreneurial competencies make up the “strengths” of young farmers, and on the other hand, the lack of cooperative organizations and the lack of entrepreneurial education and training combined with a series of situational factors complete the puzzle of “weaknesses” the farmers face in the local daily becoming.

The findings of this study have academic and policy implications. Theoretically, this study contributes to the emerging literature that emphasizes the importance of farmers' competencies, collaboration, information and training in understanding the complex and different conditions that young farmers are called upon to manage.

The novelty of this study lies in the identification of both strengths and weaknesses that affect the abiding of young farmers in the agricultural profession.

The paper examines the evolution of beginning farms’ income statement and balance sheet items over a 15-year period. The purpose of this paper is to gain insight into the diversity of beginning farms from a financial point of view.

Using the USDA’s Agricultural Resource Management Survey (ARMS), the author constructs a synthetic panel of data consisting of age cohorts of beginning farmers and follow them over time. Baseline financial information for the farm income statement and balance sheet is examined in 1999 and again in 2014 for each cohort.

Overall, there is a marked contrast in the evolution in the income statement between beginning farmers who are under 45 years old and those over 45. The gross cash income of the youngest cohorts grows tremendously, as do their expenses, indicating rapid expansion in production on the part of the youngest cohorts. The change in the balance sheets of the cohorts also provides a glimpse into the changing roles of beginning famers over time. The youngest cohort of beginning farmers increase the current and non-current assets on their balance sheets by a substantial amount, more than doubling both. Furthermore, the youngest cohort is the only group to take on more current liabilities, indicating increased financing of the production expenses.

Differences in the evolution of financial profiles of beginning farms may predict differences in future output, and it could be a predictor of the farm’s operational goals or intentions, as well as predictor of future financial needs and challenges.

Knowing and understanding likely trajectories of beginning farmers may provide an opportunity to better tailor farm programs, outreach, and support to beginning farmers.

The present study investigates the contribution to farm women's empowerment of the ‘young farmers’ programme that has been run by the Greek state since the early 1990s. The ‘young farmers’ programme aims to attract young people (men as well as women) into agriculture in order to renew the aged farming population, providing economic incentives to young people (up to 40 years old) entering farming or to newly established young farmers. The programme is based on Chap. II, article 8, Reg. 1257/99 (and the previous structural regulations) and operates through the Community Support Frameworks implemented by the Ministry of Rural Development and Food. The Ministry also provides a number of supplementary national incentives to young people wishing to become established in agriculture (Law 2520/97).

The purpose of this paper is to assess the impacts of GM crop adoption on the profitability of farms operated by young and/or beginning farmers and ranchers (YBFR).

This research uses weighted quantile regression analysis in conjunction with 2004‐2006 Agricultural Resource Management Survey to evaluate the impact of GM crop adoption on financial performance of farms operated by YBFR. The methodology employed in this study corrects for the simultaneity of technology adoption and farm financial performance.

As expected, the impact of GM crop adoption on profitability is positively affected by the scale of operation and leverage. On the other hand, off‐farm employment by “beginning” farmers has a negative impact on farm's profitability if they choose to adopt GM crops. Finally, quantile regression results from a farm household study shows that the model performs better at the higher quantile of the distribution.

This study helps to determine whether the adoption of GM crops increases the profitability of farms operated by “beginning” farmers. In addition, it explores the impact of other factors (such as farm, operator, demographic, and financial characteristics) on the profitability of farms operated by “beginning” farmers.

Computing the profitability of adoption decisions for YBFR will provide significant information to YBFR that they can use in constructing their farm operations strategic business plan and future decisions regarding farming operations.

Existing research does not examine the impact of GM crops adoption on farm profitability of YBFR. Furthermore, YBFR operators face significant challenges in making their operations financially viable, owing to lack of access to capital and land.

The purpose of this paper is to critically examine the impact of a growth enhancement support scheme (GESS) on youth development in informal farm entrepreneurship in Nigeria. Its special focus is to investigate the impact of the GESS on rural youths’ adoption of new technologies needed to sustainably increase food security in Nigeria.

This paper adopts a survey research technique, aimed at gathering information from a representative sample of the population, as it is essentially cross-sectional, describing and interpreting the current situation. A total of 800 rural youths were sampled across the six geopolitical zones of Nigeria.

The result from the use of a bivariate probit model indicates that the GESS has a significant impact on rural youths’ innovations in farming.

This suggests that information and communication technology could provide new opportunities for making farming more interesting and enterprising for rural young people.

It implies that while old male and female farmers are less likely to adopt the new farming technologies needed to achieve Nigeria’s agricultural transformation agenda (ATA), a younger generation can help introduce new technologies, while also learning from traditional methods.

This research adds to the literature on informal farm entrepreneurship and rural communities’ debate in developing countries. It concludes that engaging youths in GESS should form the foundation of the ATA in Nigeria, which, in turn, would offer adequate combination of new and traditional solution to address the challenges of food insecurity in Sub-Saharan Africa.

Risk attitude is an elementary attribute of entrepreneurial behaviour. Determinants of risk-taking propensity have been widely investigated in the group of entrepreneurs and non-entrepreneurs so far. There is a lack of evidence on determinants of risk-taking propensity in the farming business, which is considered as risky business because of the ongoing climate change and epidemic outbreaks. Alternatively, the risk of lower European Union budget raised the question, how to implement publicly supported financial instruments for micro and small farmers which have lower credit rating. The purpose of this study is to find socio-demographic determinants of the risk-taking propensity of the Czech micro farms, controlling for the type of farming.

The survey of 747 micro farmers was processed through ordinal logistic regression. The study is based on the subjective self-assessment of the risk-taking behaviour which is frequently used to measure risk-taking attitude. The results are representative from the type of farming point of view.

The model provided clear evidence that age, household size, living with the partner/wife/husband and level of education have a significant relationship with risk-taking propensity. The most risk-tolerant farmers are young with less formal education and living in small households. The risk-taking propensity varies by the type of farming. Specialized crop farms have significantly higher risk-taking propensity than farms with a substantial share of livestock production. Alternatively, gender, feeling about household income and religion are not significantly related to the risk-taking propensity of the Czech micro farms.

The main limitation of the study is the number of explanatory variables and the use of self-assessment of risk-taking attitude. The risk attitude can be explained by other variables which require in-depth qualitative research, such as past risk experience, the structure of decision problems, market orientation and operation under subsistence conditions.

The significant determinants of risk-taking attitude of micro farmers are important for banks, the Czech Support and Guarantee Fund for Farmers and Forestry and for policymakers who design the rules for post-2020 common agricultural policy. The study is original and valuable for the Central and Eastern European countries’ implementation of financial instruments as new rules for investment support are being prepared and research on the risk-taking attitude of the most vulnerable segment of farmers has not been conducted.

The originality of this study is from the perspective of agricultural sector as well as from the micro farms point of view. The results have commercial and political implications. Younger farmers, singles and lower-educated farmers have significantly higher risk-taking propensity and can be potentially risky clients for banks. Such farmers represent the financial gap in the credit market, and their viable development projects could be subject for implementation of financial instruments co-financed by the European Agricultural Fund for Rural Development in the forthcoming programming period past 2020.

Agricultural credit markets are dominated by two institutional retail lender groups, the cooperative Farm Credit System (FCS) and commercial banks. Analysis of farm loans made over the 1991S1993 and 2001S2002 periods indicates that FCS lenders were more likely to serve full‐time commercial farmers and farmers located in regions with less competitive credit markets. In contrast, commercial banks were more likely to serve small, part‐time, and hobby farmers. This segmentation of farm credit markets is consistent with federal regulations requiring the FCS to provide credit to “bona fide” farmers with a basis for credit.

Conservation agriculture-based wheat production system (CAW) can serve as an ex ante measure to minimize loss due to climate risks, especially the extreme rainfall during the wheat production season in India. This study aims to examine whether farmers learn from their past experiences of exposure to climate extremes and use the knowledge to better adapt to future climate extremes.

The authors used data collected from 184 farmers from Haryana over three consecutive wheat seasons from 2013-2014 to 2015-2016 and multivariate logit model to analyse the driver of the adoption of CAW as an ex ante climate risk mitigating strategies based on their learning and censored Tobit model to analyse the intensity of adoption of CAW as an ex ante climate risk mitigation strategy. Farmer’s knowledge and key barriers to the adoption of CAW were determined through focus group discussions.

The analysis shows that the majority of farmers who had applied CAW in the year 2014-2015 (a year with untimely excess rainfall during the wheat season) have continued to practice CAW and have increased the proportion of land area allocated to it. Many farmers shifted from CTW to CAW in 2015-2016.

While farmers now consider CAW as an ex ante measure to climate risks, a technology knowledge gap exists, which limits its adoption. Therefore, designing appropriate methods to communicate scientific evidence is crucial.

This paper uses three years panel data from 184 farm households in Haryana, India, together with focus groups discussions with farmers and interviews with key informants to assess if farmers learn adaptation to climate change from past climate extremes.

USDA direct and guaranteed farm loan programs exhibit significant geographical variation in lending activity. County‐level estimations made using Tobit procedures indicate that use of Farm Service Agency (FSA) farm loan programs is greater in counties with lower per capita income and regions experiencing greater farm financial stress. Use of direct FSA loan programs was lower in counties with fewer private‐sector lenders. Guarantee loan program usage was found to decline when commercial agricultural lenders are absent from the county. FSA loan programs were more highly utilized in counties with an FSA loan service center and in states receiving greater FSA farm loan funding in past years.