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Minimum Wage Legislation and Farm Financial Structure

Author

Listed:
  • Lins, David A.

Abstract

Minimum wage legislation which results in higher avcrage wage rates for farm laborers would affect the assct stmcture and income flows of farm operators. A simulation model of financial struchlre of thc farm sector is uscd to show that highcr wage rates would result in inereased nonreal estate assets and debt relative to real estate assets and debt. Proprietors' equities would decline. Simulation results indicated that reduetions in net farm income due to higher wage rates would he partially offset by higher nonfaml income of farm operators and their families.

Suggested Citation

  • Lins, David A., 1974. "Minimum Wage Legislation and Farm Financial Structure," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 26(02), pages 1-8, April.
    • Handle: RePEc:ags:uersja:147166
    DOI: 10.22004/ag.econ.147166
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