Size, Structure, And The Changing Face Of American Agriculture

640 Pages·1994·15.727 MB·\640

by  Arne Hallam (Author)

Size, Structure, and the Changing
Face of American Agriculture

Size, Structure, and the Changing
Face of American Agriculture
EDITED BY
Arne Hallam
First published 1993 by Westview Press
Published 2019 by Routledge
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Library of Congress Cataloging-in-Publication Data
Size, structure, and the changing face of American agriculture / edited by Arne Hallam.
p. cm.
Includes bibliographical references.
1. Farms, Size of—United States. 2. Agricultural industrie—
United States. 3. Land use, Rural—United States. 4. United
States—Rural conditions. 5. Rural families—United States.
6. Agriculture—Economic aspects—United States. 7. Agriculture and
state—United States. I. Hallam, Arne.
HD1470.5.U6S59 1993
338.1'6—dc20 93-29046
CIP
ISBN 13: 978-0-367-28732-0 (hbk)
Contents
Preface vii
Acknowledgments viii
About the Contributors
X
1
1 The Importance of Size and Structure in U.S.
Agriculture, Arne Hallam
2 Farm Structure: Concept and Definition,
B. F. Stanton 14
3 The Structure of Agriculture in an Historical
Context, Wayne D. Rasmussen and B. F. Stanton 30
4 Changes in Farm Size and Structure in
American Agriculture in the Twentieth
Centwy, B. F. Stanton 42
5 Recent Changes in Size and Structure of
Agriculture: A Study of Selected States in the
North Central Region, Robert H. Hornbaker and
Steven R. Denault 71
6 The Production Cost-Size Relationship:
Measurement Issues and Estimates for Three
Major Crops, Mary C. Ahearn, Gerald W.
Whittaker, and Hisham El-Osta 107
7 Economies of Size: Theory, Measurement,
and Related Issues, Arne Hallam 150
8 Empirical Studies of Size, Structure, and
Efficiency in Agriculture, Arne Hallam 204
9 Why Are Some Farms More Successful than
Others? A Review, Glenn Fox, Philip A.
Bergen, and Ed Dickson 232
vi
10 Use of Firm-Level Agricultural Data Collected
and Managed at the State Level for Studying
Farm Size Issues, George L. Casler 251
11 Micro-Level Agricultural Data Collected and
Managed by the Federal Government,
James D. Johnson 284
12 Technology and Its Impact on American
Agriculture, Maroin T. Batte and Roger Johnson 308
13 Government Commodity Program Impacts on
Farm Numbers, Luther G. Tweeten 336
14 Implications of Tax Policy for Farm Structure,
Joseph A. Atwood, Vincent H. Smith,
Myles J. Watts, Glenn A. Helmers, and
Boris E. Bravo-Ureta 365
15 Structural Implications of Agricultural
Finance, Cole R. Gustafson and Peter J. Barry 383
16 A Changing Food and Agribusiness Sector:
Its Impacts on Farm Structure, Michael A.
Hudson, Bruce J. Sherrick, and Michael A.
Mazzocco 412
17 Structural Diversity Under Risk: Choice of
Durable Assets, Lindon J. Robison 444
18 Empirical Analysis of Tenure Patterns and
Farm Structure, Larry Janssen 469
19 The Structure of Families and Changes in
Farm Organization and Structure, Larry
Janssen, Ron G. Stuoer, and Virginia L. Clark 500
20 Structural Change in Farming and Its
Relationship to Rural Communities,
Thomas A. Carlin and William E. Saupe 538
21 Farm Structure and Stewardship of the
Environment, Jay Dee Atwood and Arne Hallam 561
22 Projections of Structural Change and the
Future of American Agriculture,
Kent D. Olson and B. F. Stanton 587
Preface
This book's purpose is to provide a comprehensive discussion of
concepts, methods of analysis, and empirical results related to the
structure of agriculture, with particular emphasis on the United States.
The focus is on changes in structure in the twentieth century and
projected changes in the first decades of the next century. Particular
attention is given to the dramatic changes in structure that have occurred
in the last forty years and how the integration of agriculture both
nationally and globally will affect structure in the near future.
The book addresses such questions as: Are profitable small family
farms a thing of the past? Will agriculture become as industrialized as
the rest of the economy? Is there a place for large mechanized farms in
a society that values the environment? Can medium-size farms obtain
the resources necessary to make a profit? Will rural communities survive
as the number of farms falls? Does farm size affect the welfare of
consumers or the quantity and quality of the food supply? Does
technological change tend to favor particular types of farms? What is the
role of government in encouraging or discouraging particular agricultural
structures? Although the book does not provide definite answers to these
questions, it provides a rich and deep framework and significant
empirical data for analyzing these issues in a scientific manner.
The book is intended for several audiences. It is a source of
information for undergraduate and graduate students studying
agriculture, economics, rural sociology, or the political economy of rural
areas. It also provides an excellent reference for professional economists
and other researchers interested in the issues related to size, scale, and
scope with an empirical emphasis on agriculture. It contains extensive
references to the literature. The chapters on methods and data are
intended for professional audiences, but most other chapters are written
with a general audience in mind. Thus the bulk of the book is intended
for anyone with an interest in agricultural issues, particularly those
related to farm size, competition, and the future of agriculture.
Arne Hallam
Iowa State University
Tall Grass Prairie
Acknowledgments
This book is a product of North Central Regional Committee NC-181
entitled "Determinants of Farm Size and Structure in North Central Areas
of the United States," which was initiated in 1986. Cooperating agencies
were the agricultural experiment stations of Arkansas, Idaho, Illinois,
Iowa, Kansas, Michigan, Minnesota, Nebraska, New York, North Dakota,
Ohio, South Dakota, and Wisconsin and the Economic Research Service
of the U.S. Department of Agriculture. The Farm Foundation provided
financial as well as intellectual support for various meetings of this
group. The idea for a book as a product of the committee came at the
prodding of the administrative advisor, Robert Jolly, Iowa State
University, and the public virtue of Lindon Robison, Michigan State
University, who as committee chair felt obliged to satisfy the project's
stated objectives. The committee, through annual meetings, identified
topics to be addressed and selected tentative authors. Initial drafts were
presented at committee meetings. These presentations were formally
critiqued and informally discussed at the same meetings. Second drafts
of the chapters were sent to outside reviewers. Some of these reviewers
were authors of other chapters in the book, but most were outside
professionals. Thus special thanks are due to Phil Garcia and Steve
Sonka, University of Illinois; Sherrill Nott, Craig Harris, LuAnne Lohr,
and Steve Hansen, Michigan State University; David Harrington,
Economic Research Service, USDA; Robert Burton, University of Kansas;
Loren Tauer, Cornell University; and Philip Paarlberg, Purdue University.
Following this outside review, some chapters were dropped or
significantly revised and a third set of drafts prepared. The final drafts
were then edited for consistency.
A task of this magnitude is not without its pitfalls and headaches.
Bruce Bullock, who replaced Robert Jolly as administrative advisor in
1989-90, was instrumental in securing funds for the publication of the
book and running interference for the editor. The Department of
Economics at Iowa State University contributed substantial intellectual
and in-kind support throughout the project. The Economics Department
at Brigham Young University provided a comfortable atmosphere during
the sabbatical leave when most of the editing took place. Donna Otto of
ix
Iowa State University donated two plus years of her time and probably
more of her patience and sanity in preparing the manuscript. She
endured several changes in the book's format, tardy authors,
unintelligible writing in the margins, and constant interruptions to
produce a manuscript precise, accurate, and easy to read. My sincere
appreciation goes out to her for her outstanding attention to duty and
responsibility. The final version is her product more than that of anyone
else.
Special appreciation also is due to my wife, Susan, and my four
patient, but ever-wondering-when-this-would-be-done, children (Ezra,
Elizabeth, Justus, and· Emmeline), who had to hear about all the problems
with the manuscript when no one else would listen. They deserve high
praise for patience with a project that conferred no direct benefits but was
important to their father. Thank you.
A.H.