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Briefing Rooms

Farm Household Economics and Well-Being: Recommended Readings

Contents
 

Profile of Hired Farmworkers, A 2008 Update—Hired farmworkers make up a third of the total agricultural labor force and are critical to U.S. agricultural production, particularly in labor-intensive sectors such as fruits and vegetables. The hired farmworker labor market is unique because it includes a large population of relatively disadvantaged and often unauthorized workers, a portion of whom migrate to, and within, the United States. Recent economic and demographic trends, such as changing agricultural production methods that permit year-round employment, expanding immigrant populations in nonmetropolitan counties, and growing concerns over U.S. immigration policies, have elicited increased interest in hired farmworkers. This 2008 profile serves as an update to the 2000 Economic Research Service analysis of the 1998 Current Population Survey using current data with expanded sections on legal status, poverty, housing, and use of social services. (7/08)

The Importance of Farm Program Payments to Farm Households—Less than half of all farms receive farm payments from commodity or conservation programs. And two-thirds of those that receive payments receive less than $10,000—a relatively small amount of income compared to their other income sources and their wealth position. This article describes how different types of program payments are distributed by farm size and region and identifies the relatively small share of farms for which payments represent a large part of farm returns. Amber Waves (6/07).

Structure and Finances of U.S. Farms: Family Farm Report, 2007 Edition—This report presents comprehensive information on family and nonfamily farms and important trends in farming, operator household income, farm performance, and contracting. Most farms are family farms, and small family farms account for most farms but produce a modest share of farm output. A companion brochure summarizes the report's findings. (6/07)

Changing Federal Tax Policies Affect Farm Households Differently—Recent Federal tax legislation has reduced income tax rates for both individuals and businesses and cut the number of farm estates that owe Federal estate taxes. Commercial farmers are the primary beneficiaries of the reduced business and estate taxes. (11/05)

How Do U.S. Farmers Plan for Retirement?—Retirement and succession planning are of considerable importance to farm households, and there are good reasons to believe that farm households are affected by savings and retirement policies in ways that are different from the rest of the Nation's households. For example, compared with the U.S. labor force, farm operators are considerably older. In addition to working past traditional retirement age, farm operator households tend to have more varied income sources and forms of wealth, than the general population. While fewer farm operators are covered by employer-sponsored pensions than are nonfarmers, most farm operators save from current income on a regular basis and have accumulated diversified financial portfolios, including individual retirement savings. Amber Waves (4/05).

Farm Payments: Decoupled Payments Increase Households' Well-Being, Not Production—Traditionally, subsidies in the U.S. and elsewhere have linked payments to current prices and production. Such subsidies distort, or alter, the signals sent by market prices. In 1996, the U.S. revamped its farm support and introduced a farm payment that breaks the links between the amounts paid to farmers, their level of production, and market prices. There is little evidence that these decoupled payments distort production. Their primary consequence has been an improvement in the overall well-being of recipient households that own base acres, where well-being is defined broadly to encompass income, wealth, and consumption, as well as how people choose to spend their time. Amber Waves (2/03).

 

For more information, contact: Mary Ahearn

Web administration: webadmin@ers.usda.gov

Updated date: November 25, 2008