FARM AND NONFARM FACTORS INFLUENCING FARM SIZE

Abstract

The impact of the price of capital, nonfarm employment opportunities, and returns in agriculture on farm size was analyzed. A 10 region panel model using data for 1950-2000 was used. The impact of agricultural government payments was also examined. The results demonstrated the capital-labor substitution phenomenon and the importance of nonfarm employment changes.Farm Size, Capital-Labor Substitution, Nonfarm Impacts, Industrial Organization,