The degree of monopsony power in agricultural labour markets, and the impact of the agricultural minimum wage: an application to craft workers in England and Wales

Abstract

This paper uses cross-section data to examine the determinants of wages for agricultural craft workers over the period 1991–1994. Using limited dependent variable models to take account of the censoring in the data resulting from the minimum wage, we have investigated the degree to which agricultural and broader labour markets are integrated, the impact of tied housing on wages, and the extent to which the minimum wage truncates the wage distribution.