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Differences in financial outcomes for family and nonfamily farms Agricultural Finance Review Pub Date : 2024-03-15 David J. Williams, Francisco Scott
Purpose Nonfamily farms are responsible for a disproportionate amount of US agriculture production. The importance of these operations to the volume of agriculture production in the United States has led researchers and policymakers to understand nonfamily farms as large commercial operations. This paper examines whether the distinction between family and nonfamily helps explain the financial outcomes
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Change in US farm sector's financial position and performance in 2020 compared to pre-pandemic expectations: An analysis using financial ratios Agricultural Finance Review Pub Date : 2023-12-26 Anil K. Giri, Carrie Litkowski, Dipak Subedi, Tia M. McDonald
Purpose The purpose of this study is to examine how US farm sector performed in 2020, the first year of the pandemic. There were significant supply and demand shocks due to the pandemic. Furthermore, there was significant fluctuation in commodity prices and record high government payments in 2020. This study aims to examine the performance and position of US farm sector (financially) to system (and
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Impact of interest subvention scheme (ISS) on the behaviour of farm households: a case of Andhra Pradesh and Madhya Pradesh Agricultural Finance Review Pub Date : 2023-11-28 Shubham Kumar Sehgal
Purpose Credit is an essential element in the production process in agriculture. There are two sources from which farm households can access credit: institutional sources and non-institutional or informal sources of credit. The informal sources of credit, such as moneylenders, charge exorbitant rates of interest, which further puts a financial burden on the farmers. Hence, to increase the flow of credit
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Impact of financial literacy and financial confidence on the savings behaviour of the farmers: the Indian scene Agricultural Finance Review Pub Date : 2023-11-16 Soumyadwip Das, Sumit Kumar Maji
Purpose The study aims to explore the savings behaviour of Indian farmers. An attempt is also made to inspect the effect of financial literacy (FL) and financial confidence (FC) on the savings behaviour of the farmers in India. Design/methodology/approach This study used secondary data on 10,263 Indian farmers from Financial Inclusion Insights, 2017 database. Relevant statistical techniques and ordered
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Remittances and agricultural productivity: the effect of heterogeneity in economic activity of farming households in Ghana Agricultural Finance Review Pub Date : 2023-11-14 Mark Eghan, Charles Adjasi
Purpose This paper aims to test the impact of remittances receipt on agricultural productivity. The paper empirically assesses whether heterogeneity in economic activity of farming households affects the effects of remittances on productivity of tradable and nontradable crop farming households in Ghana. Design/methodology/approach The authors employ propensity score matching (PSM) methods to address
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Agricultural value chain participation and farmers' access to credit in northern Ghana Agricultural Finance Review Pub Date : 2023-11-10 Timothy Anakwa Osei, Samuel A. Donkoh, Isaac Gershon Kodwo Ansah, Joseph A. Awuni, Mensah Tawiah Cobbinah
Purpose Promoted for its inclusivity, agricultural value chain (AVC) financing leverages social capital and mechanisms such as off-take agreements and forward contracts to reduce borrowing and lending costs and risks for both farmers and lending institutions. AVC financing has been defined as the flow of financial products and services to and among the various actors within the AVC to address constraints
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Regulation and agriculture financing in Kenya Agricultural Finance Review Pub Date : 2023-10-10 Kellen Murungi, Abdul Latif Alhassan, Bomikazi Zeka
Purpose The agricultural sector remains the backbone of several emerging economies, including Kenya, where it contributes 34% to its gross domestic product (GDP). However, access to financing for agricultural activities appears to be very low compared to developed economies. Following this, governments in a number of countries have sought to introduce banking sector regulations to facilitate increased
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Beginning farmer status and financial performance differentials Agricultural Finance Review Pub Date : 2023-09-19 Rebecca Weir, Joleen Hadrich, Alessandro Bonanno, Becca B.R. Jablonski
Purpose Beginning Farmer and Rancher programs are available for operators with ten years of experience or less on any farm. These programs support farmers who are starting operations, often without an initial asset allocation. However, some beginning farmers acquire operations that are already established, with substantial assets in place. The authors investigate whether a profitability gap exists
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Estimating US farmers' speed of climate change adaptation: the case of subsurface tile drainage Agricultural Finance Review Pub Date : 2023-09-18 Haden Comstock, Nathan DeLay
Purpose Climate change is expected to cause larger and more frequent precipitation events in key agricultural regions of the United States, damaging crops and soils. Subsurface tile drainage is an important technology for mitigating the risks of a wetter climate in crop production. In this study, the authors examine how quickly farmers adapt to increased precipitation by investing in drainage technology
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Impact of village saving groups on adoption intensity of sustainable agricultural practices among smallholder farmers in Northern region, Ghana Agricultural Finance Review Pub Date : 2023-09-15 Abdul-Karim Alhassan, Vivian Fiatusey Boateng, Gideon Danso-Abbeam
Purpose Access to formal financial services is one of the main obstacles to the adoption of agricultural technologies such as Sustainable Agricultural Practices (SAPs). In order to increase financial inclusion and lessen farmers' liquidity restrictions, Village Savings and Loans Associations (VSLA) are being promoted in rural farming communities. However, there extent to which VSLA contributes to the
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Feeder and fed cattle purchases of livestock risk protection Agricultural Finance Review Pub Date : 2023-09-12 Christopher N. Boyer, Eunchun Park, Karen L. DeLong, Andrew Griffith, Charles Martinez
Purpose Premium subsidy rates were increased in 2019 and 2020 for livestock risk protection (LRP) insurance, which is price insurance for cattle producers. The authors examined if the LRP subsidy rate changes affected the LRP coverage levels purchased by feeder and fed cattle producers. Design/methodology/approach The authors collected the United States Department of Agriculture Risk Management Agency
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Simulating corn futures market reaction and prices under weekly yield forecasts Agricultural Finance Review Pub Date : 2023-09-06 Francis Tsiboe, Jesse B. Tack, Keith Coble, Ardian Harri, Joseph Cooper
Purpose The increased availability and adoption of precision agriculture technologies has left researchers to grapple with how to best utilize the associated high-frequency large-volume of data. Since the wealth of information from precision equipment can easily be aggregated in real-time, this poses an interesting question of how aggregates of high-frequency data may complement, or substitute for
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Does crop insurance attenuate farm financial risk? Agricultural Finance Review Pub Date : 2023-08-31 Madhav Regmi, Allen M. Featherstone, Jesse Tack
Purpose Federally subsidized crop insurance aims to mitigate farm risks of crop producers. A body of literature has examined informational problems under this program. However, few studies empirically link crop insurance participation with farm financial performance. Most use county-level aggregates to argue that crop insurance participation is associated with increased farm financial debt. Using farm-level
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Struggle to survive: case of flood risk on US community banks Agricultural Finance Review Pub Date : 2023-08-22 Nyonho Oh, Kevin Nooree Kim
Purpose The survivorship of firms under extreme weather poses an essential question about the local economy's health. Over 90% of agricultural banks are categorized as community banks, which are important financial institutions promoting local growth. While previous studies suggest that climate change and weather shocks adversely impact community banks' resiliency, studies on whether these institutions
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Investments, subsidies and financial constraints in Estonian agriculture Agricultural Finance Review Pub Date : 2023-08-22 Olha Aleksandrova, Imre Fertő, Ants-Hannes Viira
Purpose The purpose of this study is to explore the determinants of investment decisions of Estonian farms after the transition to market economy and accession to the European Union (EU), in the period 2006–2019. Design/methodology/approach The paper employs Estonian Farm Accountancy Data Network (FADN) individual farm-level data from the period 2006–2019, and standard and augmented accelerator investment
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The empirical demand for farm insurance in Ireland: a quantile regression approach Agricultural Finance Review Pub Date : 2023-07-06 Jason Loughrey, Herath Vidyaratne
Purpose The purpose of this paper is to analyse the association between farm/farmer characteristics and unsubsidized farm insurance premium expenditure in Ireland. The distribution of farm insurance expenditures is wide, and it is important to understand the extent to which individual factors influence demand for different levels of insurance premium. Design/methodology/approach The quantile regression
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Female smallholder farmers’ preferences for digital and conventional credit attributes: evidence from Madagascar Agricultural Finance Review Pub Date : 2023-06-29 Annkathrin Wahbi, Yaw Sarfo, Oliver Musshoff
Purpose Digital credit is spreading rapidly across Sub-Saharan Africa and holds potential for financial inclusion and female financial autonomy. Women in developing economies have long been targeted by microfinance institutions due to the women’s reliability and positive spillover effects. Yet, adoption rates for digital financial innovations remain moderate among rural women in Sub-Saharan Africa
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Risk-adjusted farm returns and farm size Agricultural Finance Review Pub Date : 2023-06-01 Ashraf M. Noumir, Michael R. Langemeier, Mindy L. Mallory
Purpose The average U.S. farm size has risen dramatically over the last three decades. Motives for this trend are the subject of a large body of literature. This study incorporates farm size risk and return analysis into this research stream. In this paper, cross-sectional and temporal relations between farm size and returns are examined and characterized. Design/methodology/approach Relying on farm
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German farmers' perceived usefulness of satellite-based index insurance: insights from a transtheoretical model Agricultural Finance Review Pub Date : 2023-05-23 Eike Florenz Nordmeyer, Oliver Musshoff
Purpose Index insurance is promising to mitigate drought-related income losses in agriculture. To reduce the basis risk of index insurance, the integration of satellite data is of growing interest in research. The objective of this study is to obtain preliminary evidence regarding farmers' perceived usefulness (PU) of satellite-based index insurance. Design/methodology/approach By modifying the transtheoretical
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The effect of crop insurance in Ecuadorian rice farming: a technical efficiency approach Agricultural Finance Review Pub Date : 2023-04-25 Marcelo Castro, Alvaro Reyes Duarte, Andrés Villegas, Luis Chanci
Purpose The aim of this study is to estimate the technical efficiency of the massive and economically important crop of rice in Ecuador, and then conduct a comparison between groups of farmers with and without insurance. Design/methodology/approach The authors use an input-oriented data envelopment analysis approach (DEA) to estimate technical efficiency scores. The DEA is combined with the double
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Better performance after mergers and acquisitions? The case of US farmer cooperatives Agricultural Finance Review Pub Date : 2023-04-18 Jasper Grashuis
Purpose This study analyzes the long-term effect of merger and acquisition (M&A) activity on the profitability, efficiency and liquidity of the largest 500 farmer cooperatives in the United States. Design/methodology/approach Secondary data from the U.S. Department of Agriculture are complemented with primary data collected from print media publications about M&A activity by US farmer cooperatives
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Dual use insurance for annual forage producers: comparing risk management alternatives Agricultural Finance Review Pub Date : 2023-04-17 Natalie A. Graff, Bart L. Fischer, Henry L. Bryant, David P. Anderson
Purpose The purpose of this paper is to evaluate the Dual Use (DU) Option – a crop insurance policy created by the 2018 Farm Bill – relative to other policies available to dual-purpose annual forage producers. The new policy combines existing rainfall-based policies for annual forage crops and multi-peril policies for grain, allowing coverage for multiple crop uses on the same acres during the same
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How does the financial performance of sugar-using firms compare to other agribusinesses? An accounting and economic profit rates analysis Agricultural Finance Review Pub Date : 2023-04-10 Carlos J.O. Trejo-Pech, Karen L. DeLong, Robert Johansson
Purpose The United States (US) sugar program protects domestic sugar farmers from unrestricted imports of heavily-subsidized global sugar. Sugar-using firms (SUFs) criticize that program for causing US sugar prices to be higher than world sugar prices. This study examines the financial performance of publicly traded SUFs to determine if they are performing at an economic disadvantage in terms of accounting
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Systematic process for crop insurance development: area-yield rice insurance with machine learning technology implementation in Thailand Agricultural Finance Review Pub Date : 2023-03-27 Krish Sethanand, Thitivadee Chaiyawat, Chupun Gowanit
Purpose This paper presents the systematic process framework to develop the suitable crop insurance for each agriculture farming region which has individual differences of associated crop, climate condition, including applicable technology to be implemented in crop insurance practice. This paper also studies the adoption of new insurance scheme to assess the willingness to join crop insurance program
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Credit constraint and agricultural technology adoptions: evidence from Ethiopia Agricultural Finance Review Pub Date : 2023-02-28 Megersa Endashaw Lemecha
Purpose This paper investigates constraints to yield enhancing technology adoptions, highlighting credit using data pooled from the first three waves of the Ethiopian socio-economic surveys. Design/methodology/approach Direct elicitation methodology is used to identify household's non-price credit rationing status. The panel selection model specified to examine causal effects of credit constraint on
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Prospects for weather-indexed insurance for blueberry growers Agricultural Finance Review Pub Date : 2022-12-20 Xuan Liu, G. Cornelis van Kooten, Eric Martin Gerbrandt, Jun Duan
Purpose The authors investigate whether an index-based weather insurance (WII) product can complement or replace existing traditional crop yield insurance for mitigating farmers' financial risks, with an application to blueberry growers in British Columbia (BC). Design/methodology/approach A hybrid model combining expected utility (EU) and prospect values is developed to analyse farmers' demand for
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Financial inclusion and post-harvest losses in West African economic and Monetary Union Agricultural Finance Review Pub Date : 2022-12-19 Armand Fréjuis Akpa, Romanus Osabohien, Junaid Ashraf, Mamdouh Abdulaziz Saleh Al-Faryan
Purpose Post-harvest losses are major problems faced by farmers and this is due to their poor access to credit considered as a low rate of financial inclusion. This paper aims at analysing the relationship between financial inclusion and post-harvest losses in the West African Economic and Monetary Union (WAEMU). Design/methodology/approach The study engaged data from the Food and Agriculture Organisation
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Identifying farmers' preferences for types of credit and its market structure in rural Benin using the conjoint analysis approach Agricultural Finance Review Pub Date : 2022-12-08 Emile Sègbégnon Sonehekpon, Rose Fiamohe
Purpose This study analyzes farmers' preferences for agricultural credit and its market structure in rural Benin using the conjoint analysis approach. Design/methodology/approach The data used come from primary sources collected from 228 randomly selected farmers. The conjoint analysis approach was used to produce the results. The bias associated with the heteroscedasticity of the error terms was fixed
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Assessing the financial sustainability of a rural livestock practice: a case of Pakistan Agricultural Finance Review Pub Date : 2022-11-09 Madeeha Omer Lakhani, Sana Tauseef, Wajid Ali Chattha
Purpose This research aims to investigate the feasibility of formalizing an old, informal livestock financing practice in Pakistan known as Adhyara through assessment of estimated return and risk. Design/methodology/approach The hedonic pricing model was employed to estimate the impact of breed, weight, pregnancy status and milk yield on cattle sales price, and appropriate estimates were used for monetization
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Simulating risk management strategies for specialized farming systems: the potential impact of the EU income stabilization tool Agricultural Finance Review Pub Date : 2022-11-01 Cinzia Zinnanti, Attilio Coletta, Michele Torrigiani, Simone Severini
Purpose This study assesses the potential impact of the European Income Stabilization Tool (IST – a whole farm income risk management [RM] tool) within a farm cooperative specializing in vineyards and operating in a small area of production. The authors assess the conditions under which IST could improve the well-being of the associated farmers and, at the same time, improve financial sustainability
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How does tenancy affect farmland prices? Effects of lease status, lease term and buyer type Agricultural Finance Review Pub Date : 2022-09-27 Maximilian Humpesch, Stefan Seifert, Alfons Balmann, Silke Hüttel
Purpose Lease contracts at the time of sale influence buyers' expectations about future returns of farmland ownership and may thus contribute to price dispersion. This paper investigates the conjecture that existing land lease contracts influence buyers' and sellers' costs of being information deficient and thus their bargaining position, their expectation formation about future returns, and thus ultimately
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Determinants of institutional agricultural credit access and its linkage with farmer satisfaction in India: a moderated-mediation analysis Agricultural Finance Review Pub Date : 2022-08-23 Shiladitya Dey, Piyush Kumar Singh, Megha Deepak Mhaskar
Purpose The study assesses the relationship between institutional credit access and farmer satisfaction using contextual mediating and moderating variables. This study identifies various socioeconomic, service features and service quality determinants impacting institutional credit access. Design/methodology/approach The authors used the stratified random sampling method and selected 512 farmers from
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Livestock risk protection subsidies changes on producer premiums Agricultural Finance Review Pub Date : 2022-08-16 Christopher N. Boyer, Andrew P. Griffith
Purpose Livestock Risk Protection (LRP) insurance can reduce losses from price declines for cattle producers, but LRP adoptions has been limited. In 2019 and 2020, LRP subsidies were increased to lower the cost, but it is unclear how much these changes lowered the cost. The objective of this research was to estimate the impact of the subsidy increase on the cost of LRP for feeder and fed cattle by
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Relationship of public farmland and timberland REITs with their private equity counterparts and selected asset classes Agricultural Finance Review Pub Date : 2022-08-08 Srijana Baral, Bin Mei
Purpose The purpose of this study is to examine the return sensitivity of public farmland and timberland real estate investment trusts (REITs) to private-equity farmland, timberland and real estate, long-term corporate bonds and large- and small-cap stocks. The study also examines time-dependent contributions of selected asset classes to farmland and timberland REIT volatility. Design/methodology/approach
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Online media in dairy markets: a US dairy futures market study Agricultural Finance Review Pub Date : 2022-07-25 Mario Ortez, Nicole Olynk Widmar, Mindy Lyn Mallory, Christopher Allen Wolf, Courtney Bir
Purpose This article quantifies public sentiment for dairy products using online media and investigates potential relationships between online media, both volume and sentiment, and future prices of Class III milk. Design/methodology/approach Netbase, an online media listening platform, was used to quantify US generated online media sentiment and number of mentions regarding dairy products. Granger-causality
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Financial exposure to environmental liabilities in Lake Huron drainage area farmlands: a GIS and hedonic pricing approach Agricultural Finance Review Pub Date : 2022-07-12 Kenneth Hsien Yung Chung, Peter Adriaens
Purpose This paper aims to quantify the impact of environmental contamination on farmland valuation. It applies data fusion and hedonic pricing approaches to quantify the contribution of nitrogen and phosphorus loading on farmland sales transactions. It further suggests approaches to improve internalization of environmental cost in valuation approaches using shadow pricing. The work informs the field
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Financial literacy and its antecedents amongst the farmers: evidence from India Agricultural Finance Review Pub Date : 2022-06-21 Sumit Kumar Maji, Arindam Laha
Purpose The article makes a modest attempt to explore the level of financial literacy (FL) amongst the farmers in India. An effort was also made to unearth the factors affecting such FL. Design/methodology/approach The study used secondary data on 11,030 farmers across various regions of India from the Financial Inclusion Insight Survey, 2017. Standard and Poor Global FL questions were used to measure
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Business risk, financial risk and savings: does perceived higher business risk induce savings among small agricultural operations in the USA? Agricultural Finance Review Pub Date : 2022-06-17 Sudip Adhikari, Aditya R. Khanal
Purpose The purpose of this paper is to present theoretical synopsis of risk balancing hypothesis (RBH) and estimate empirical models examining debt, savings and debt-to-equity use decisions of small US farms. Design/methodology/approach The authors use primary survey data from Tennessee and generalized linear models (GLMs). Findings The study’s findings suggest that the perceived higher business risk
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Does access to agricultural credit help disaster-affected farming households to invest more on agricultural input? Agricultural Finance Review Pub Date : 2022-05-27 Masaood Moahid, Ghulam Dastgir Khan, M.D. Abdul Bari, Yuichiro Yoshida
Purpose Natural calamities impair agricultural households' ability to invest in their farms. Facilitating access to agricultural credit may assist farmers in the face of negative revenue shocks. The aim of this study is to investigate the impact of agricultural credit on the agricultural input expenditure of disaster-affected farmers in Bangladesh. Design/methodology/approach The study utilizes data
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Ad hoc government payments impact on non-real estate farm debt Agricultural Finance Review Pub Date : 2022-05-24 Charles Martinez, Christopher N. Boyer, Tun-Hsiang Yu, S. Aaron Smith, Adam Rabinowitz
Purpose The authors examined the impact of the Market Facilitation Program (MFP) and Coronavirus Food Assistance Program (CFAP) payments to United States agricultural producers on non-real estate agricultural loans. Design/methodology/approach The authors used quarterly, state-level commercial bank data from 2016–2020 to estimate dynamic panel models. Findings The authors found MFP and CFAP payments
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Guest editorial: Special issue on beginning farmers and ranchers Agricultural Finance Review Pub Date : 2022-04-22 Jeffrey W. Hopkins
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Trade credit from agrochemical vendors as an alternative source of finance for cabbage producers in the Bono East Region of Ghana Agricultural Finance Review Pub Date : 2022-04-15 Ernest Christlieb Amrago, Nicholas Oppong Mensah
Purpose The purpose of this study is to examine trade credit from agrochemical vendors as an alternative source of finance for cabbage producers in the Bono East Region of Ghana. The determinants of trade credit supply and impact on cabbage producer’s profitability are investigated. Design/methodology/approach The study sample size is 260. The perception index, probit regression, negative binomial
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The profitability implications of sales through local food markets for beginning farmers and ranchers Agricultural Finance Review Pub Date : 2022-03-25 Becca B.R. Jablonski, Joleen Hadrich, Allison Bauman, Martha Sullins, Dawn Thilmany
Purpose The Agriculture Improvement Act of 2018 directed the US Secretary of Agriculture to report on the profitability and viability of beginning farmers and ranchers. Many beginning operations use local food markets as they provide more control, or a premium over commodity prices, and beginning operations cannot yet take advantage of economies of scale and subsequently have higher costs of production
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The impact of farm-level variables on federal crop insurance coverage selections Agricultural Finance Review Pub Date : 2022-03-08 Mark Boyd, Eric Belasco
Purpose This paper examines the relationship between farm-level variables related to cash flow and premium rates on federal crop insurance coverage selection. Design/methodology/approach Using farm-level data from the Agricultural Resource Management Survey (ARMS), the authors estimate a linear fixed effects model to evaluate the relationship between farm-level and regional variables and federal crop
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Guest editorial: Nontraditional Credit in U.S. Agriculture Agricultural Finance Review Pub Date : 2022-03-01 Brady Brewer,Jennifer Ifft,Nigel Key
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Exploring the adoption of technologies among beginning farmers in the specialty crops industry Agricultural Finance Review Pub Date : 2022-02-22 Ariana Torres
Purpose The purpose of this paper is to investigate the adoption of two categories of agricultural technologies among beginning farmers (10 years or less of experience) operating in the specialty crops industry. A secondary goal is to characterize the beginning farmers' population in the specialty crops industry and compare them to more experienced farmers (more than 10 years of farming experience)
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Informal finance: its drivers and contributions to farm investment among rural farmers in Northcentral Nigeria Agricultural Finance Review Pub Date : 2022-02-04 Abraham Falola, Ridwan Mukaila, Kafilat Ololade Abdulhamid
Purpose The problem of inaccessibility of finance for farm investment is a common phenomenon among farmers, especially the rural dwellers. Thus, there is a need to know how the accessibility of informal finance can be increased to increase farm investment. Therefore, this study evaluates farmers’ access to informal finance and its contribution to farm investment among rural farmers in Northcentral
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Management and ownership transfer in small and medium family farms Agricultural Finance Review Pub Date : 2022-02-03 Renee D. Wiatt, Maria I. Marshall, Ryan Musselman
Purpose This study investigated the succession process in small and medium family farms as two distinct but related processes of management transfer and ownership transfer. Past studies focused on the broad subject of succession, without dissecting succession into the components that it contains. Furthermore, this study aimed to evaluate which business, family and owner characteristics were significant
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Credit constraints and the survival and growth of beginning farms Agricultural Finance Review Pub Date : 2022-01-25 Nigel Key
Purpose Credit may help farmers survive and grow by helping farm households cope with farm or off-farm income variation and by allowing farmers to adopt more efficient production technologies and take advantage of scale economies. This study estimates how credit constraints affect the survival and growth of beginning farms and explores how this effect varies depending on the age of the farm operator
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Does use of nontraditional credit increase risk? Agricultural Finance Review Pub Date : 2022-01-20 Charles B. Dodson, Bruce L. Ahrendsen, Gianna Short
Purpose A potential farm policy concern is that if nontraditional (vendor/point-of-sale) financing represents increased risk, it may have an aggregate effect on sector-wide farm financial risk. This analysis examines the use of nontraditional lender credit among borrowers in the US Department of Agriculture (USDA)'s Farm Service Agency (FSA)'s direct farm loan programs. Design/methodology/approach
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Beginning farmer and rancher credit usage by socially disadvantaged status Agricultural Finance Review Pub Date : 2022-01-13 Bruce L. Ahrendsen, Charles B. Dodson, Gianna Short, Ronald L. Rainey, Heather A. Snell
Purpose The purpose of this paper is to examine credit usage by beginning farmers and ranchers (BFR). BFR credit usage is stratified by location (state) and by socially disadvantaged farmer and rancher (SDFR, also known as historically underserved) status. SDFR groups are defined to include women; individuals with Hispanic, Latino or Spanish Origin; individuals who identify as American Indian or Alaskan
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Beginning farmers' entry and exit: evidence from county level data Agricultural Finance Review Pub Date : 2022-01-11 Valentina Hartarska, Denis Nadolnyak, Nisha Sehrawat
Purpose This paper identifies factors that affect entry and exit of beginning, young and women farmers and ranchers. Design/methodology/approach The empirical framework is fixed effects regression analysis that uses county level data to evaluate how barriers to entry, access to and use of credit, local economic environment, and climate affect entry and exit of Beginning Farmers and Ranchers (BFRs)
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Farmers' perception and preference of Islamic Banking in Turkey Agricultural Finance Review Pub Date : 2021-12-30 Mehmet Bulut, Harun Celik
Purpose The purpose of this paper is to examine the factors that influence farmers' preference for the use of Islamic banks in Turkey and to investigate their knowledge level and perception about Islamic finance. Design/methodology/approach Survey data used in this study is obtained by drawing a sample of 1902 farmers who are members of the Agricultural Credit Cooperatives Union (ACCU) from 37 provinces
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Determinants of trade credit financing: a dynamic analysis comparing agri-food cooperatives and non-cooperatives Agricultural Finance Review Pub Date : 2021-12-28 MCarmen Martínez-Victoria, Mariluz Maté-Sanchez-Val
Purpose The particular characteristics of agri-food cooperatives reduce their ability to access external financial resources. The purpose of this paper is to explore the factors influencing the agri-food cooperatives' trade credit operations by measuring their accounts receivable and comparing the results with agri-food investor-owned firms (IOFs). Design/methodology/approach The authors apply a partial
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A profile of nontraditional agricultural real estate lender activity in the secondary market Agricultural Finance Review Pub Date : 2021-12-27 Greg A. Lyons, Jackson Takach
Purpose This paper uses novel data from a secondary market to assess how loans from nontraditional agricultural real estate lenders (NARELs) differ from traditional sources. Over $2 billion in loans from these entities were purchased by the secondary market between 2011 and 2020, but a lack of data has prevented a robust understanding of how these institutions operate. Design/methodology/approach The
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The landowner role in beginning farmer/rancher land access: predictors of landowners' views of extrafamilial farm transfer to a BFR Agricultural Finance Review Pub Date : 2021-12-21 Julia C.D. Valliant, Stephanie Dickinson, Yijia Zhang, Lilian Golzarri-Arroyo, James R. Farmer
Purpose Beginning farmers and ranchers (BFRs) are more likely to access land through an unrelated landowner than through family. Thus, farm and ranch owners who might transfer their land or businesses out of family are potential sources of land access for BFRs and are the most frequent participants in incentive programs to facilitate land transfer to BFRs. To assist in identifying landowners who might
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An economic analysis of nontraditional lending in Chapter 12 bankruptcy cases Agricultural Finance Review Pub Date : 2021-12-14 Adam N. Rabinowitz, William Glen Secor
Purpose Nontraditional lenders are important credit providers for farmers. However, previous research has found that farmers who use nontraditional lenders are riskier lending opportunities. Using a unique dataset of Chapter 12 bankruptcy cases, the authors analyze the share of payment that is made or allowed by the courts on debt owed to traditional and nontraditional lenders. Design/methodology/approach
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On the money: characterizing banking and lending in the California cannabis industry Agricultural Finance Review Pub Date : 2021-12-14 Zoë Plakias, Margaret Jodlowski, Taylor Giamo, Parisa Kavousi, Keith Taylor
Purpose Despite 2016 legalization of recreational cannabis cultivation and sale in California with the passage of Proposition 64, many cannabis businesses operate without licenses. Furthermore, federal regulations disincentivize financial institutions from banking and lending to licensed cannabis businesses. The authors explore the impact of legal cannabis business activity on California financial
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Credit-linked insurance bundles in Zambia: evidence from the aftermath of a shock Agricultural Finance Review Pub Date : 2021-12-13 Marcel Van Asseldonk, Gideon Onumah, Robert Lensink
Purpose This research seeks to assess the impact of a credit-linked insurance bundle in Zambia, in terms of the inputs used and the amount of maize subsequently produced and sold. Design/methodology/approach To estimate the impact of a credit-linked insurance bundle, this research relies on a natural field experiment. A cross-sectional survey, conducted among 409 households that enrolled in a credit-linked
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Unique financing strategies among beginning farmers and ranchers: differences among multigenerational and beginning operations Agricultural Finance Review Pub Date : 2021-12-09 Dawn Thilmany, Allison Bauman, Joleen Hadrich, Becca B.R. Jablonski, Martha Sullins
Purpose Beginning farmers have unique challenges securing credit because they are less likely to have established sales and collateral for secured loans. This article explores US beginning farmers’ financing strategies relative to those of established operations, with a focus on the source of financing and debt structure (short- vs long-term usage). Agricultural operations commonly use nontraditional