Health Insurance Coverage, Government Payments, and Labor Allocation

Cristina D. M. Miller () and Ashok K. Mishra ()
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Cristina D. M. Miller: U.S. Department of Agriculture
Ashok K. Mishra: Arizona State University

No 15262, IZA Discussion Papers from Institute of Labor Economics (IZA)

Abstract: The aging of the farmer population has led to concern about a shortage of beginning farmers and ranchers. This study investigates the impact of health insurance coverage and participation in government and private insurance programs on off-farm labor allocation decisions of beginning farm-operator households in the United States. We use farm household-level data from the 2015 Agricultural Resource Management Survey and the simultaneous Probit estimation method to estimate our empirical model. Results show that beginning farm-operator households with health insurance coverage from off-farm jobs are 14% more likely to work off the farm. Our analysis also depicts a negative relationship between the receipt of counter-cyclical, conservation, risk management payments, and off-farm work by beginning farm-operator households.

Keywords: Agricultural Resource Management Survey; beginning farm-operator household; counter-cyclical payments; risk management payments; health insurance coverage; off-farm labor supply; two-stage simultaneous probit model (search for similar items in EconPapers)
JEL-codes: C34 I13 J22 J38 J43 Q12 Q18 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2022-04
New Economics Papers: this item is included in nep-agr, nep-ias and nep-lma
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