Impact of Off-Farm Labor Supply and Government Subsidy on Korean Farmland Value
No hay miniatura disponible
Fecha
Autores
Título de la revista
ISSN de la revista
Título del volumen
Editor
Resumen
Descripción
Off-farm income and government subsidy payments are the main sources of income for farm households, as they provide farm households with income security. Increased income from off-farm work or government subsidies can be capitalized in farm assets such as farmland. A plethora of literature has investigated the impact of off-farm income and government subsidies on farmland values. However, these studies are mainly concentrated in North America and West European countries. The goal of this paper is to study the impact of off-farm income and government subsidies on farmland values in South Korea using the unconditional quantile regression. We found that off-farm income and government payments have positive and significant effects on farmland values; this effect is higher in the upper quantiles. Results from this study can assist policymakers in many countries as they design agricultural policies to encourage growth in the non-farm economy.