Another look at decoupling: Additional evidence on the production effects of direct payments

Barry K. Goodwin, Ashok Mishra

Research output: Contribution to journalArticle

33 Citations (Scopus)

Abstract

Farm-level data for the years 2002 and 2003 were used to examine acreage decisions of Corn Belt producers. An evaluation of survey questions that elicited information about the factors that influence farm operators' acreage decisions as well as their allocation of fixed payment receipts among farm and nonfarm uses was also conducted. It was found that any effects of direct payments of acreate are likely to be modest. However, inconsistencies in the survey responses arise in some cases. In particular, farmers report that the largest share of direct payment receipts tend to be used to cover agricultural production costs. Overall, results suggest that farmers who previously were unable to adjust production due to credit constraints are able to move to more optimal means of production after receiving the payments.

Original languageEnglish (US)
Pages (from-to)1200-1210
Number of pages11
JournalAmerican Journal of Agricultural Economics
Volume87
Issue number5
DOIs
StatePublished - Nov 2005
Externally publishedYes

Fingerprint

Corn Belt region
farm operators
farmers
farms
credit
production costs
agriculture
Zea mays
Costs and Cost Analysis
Farm
Direct payments
Decoupling
Farms
Payment
Farmers
Surveys and Questionnaires
Corn
Agricultural production
Operator
Inconsistency

ASJC Scopus subject areas

  • Agricultural and Biological Sciences (miscellaneous)
  • Economics and Econometrics

Cite this

Another look at decoupling : Additional evidence on the production effects of direct payments. / Goodwin, Barry K.; Mishra, Ashok.

In: American Journal of Agricultural Economics, Vol. 87, No. 5, 11.2005, p. 1200-1210.

Research output: Contribution to journalArticle

@article{8e4fd220dab3465c9f5a5ab82ea0d9a5,
title = "Another look at decoupling: Additional evidence on the production effects of direct payments",
abstract = "Farm-level data for the years 2002 and 2003 were used to examine acreage decisions of Corn Belt producers. An evaluation of survey questions that elicited information about the factors that influence farm operators' acreage decisions as well as their allocation of fixed payment receipts among farm and nonfarm uses was also conducted. It was found that any effects of direct payments of acreate are likely to be modest. However, inconsistencies in the survey responses arise in some cases. In particular, farmers report that the largest share of direct payment receipts tend to be used to cover agricultural production costs. Overall, results suggest that farmers who previously were unable to adjust production due to credit constraints are able to move to more optimal means of production after receiving the payments.",
author = "Goodwin, {Barry K.} and Ashok Mishra",
year = "2005",
month = "11",
doi = "10.1111/j.1467-8276.2005.00808.x",
language = "English (US)",
volume = "87",
pages = "1200--1210",
journal = "American Journal of Agricultural Economics",
issn = "0002-9092",
publisher = "Oxford University Press",
number = "5",

}

TY - JOUR

T1 - Another look at decoupling

T2 - Additional evidence on the production effects of direct payments

AU - Goodwin, Barry K.

AU - Mishra, Ashok

PY - 2005/11

Y1 - 2005/11

N2 - Farm-level data for the years 2002 and 2003 were used to examine acreage decisions of Corn Belt producers. An evaluation of survey questions that elicited information about the factors that influence farm operators' acreage decisions as well as their allocation of fixed payment receipts among farm and nonfarm uses was also conducted. It was found that any effects of direct payments of acreate are likely to be modest. However, inconsistencies in the survey responses arise in some cases. In particular, farmers report that the largest share of direct payment receipts tend to be used to cover agricultural production costs. Overall, results suggest that farmers who previously were unable to adjust production due to credit constraints are able to move to more optimal means of production after receiving the payments.

AB - Farm-level data for the years 2002 and 2003 were used to examine acreage decisions of Corn Belt producers. An evaluation of survey questions that elicited information about the factors that influence farm operators' acreage decisions as well as their allocation of fixed payment receipts among farm and nonfarm uses was also conducted. It was found that any effects of direct payments of acreate are likely to be modest. However, inconsistencies in the survey responses arise in some cases. In particular, farmers report that the largest share of direct payment receipts tend to be used to cover agricultural production costs. Overall, results suggest that farmers who previously were unable to adjust production due to credit constraints are able to move to more optimal means of production after receiving the payments.

UR - http://www.scopus.com/inward/record.url?scp=33745230758&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=33745230758&partnerID=8YFLogxK

U2 - 10.1111/j.1467-8276.2005.00808.x

DO - 10.1111/j.1467-8276.2005.00808.x

M3 - Article

AN - SCOPUS:33745230758

VL - 87

SP - 1200

EP - 1210

JO - American Journal of Agricultural Economics

JF - American Journal of Agricultural Economics

SN - 0002-9092

IS - 5

ER -