IDEAS home Printed from https://ideas.repec.org/p/cdl/indrel/qt15v0h4v7.html
   My bibliography  Save this paper

Effects of the Great Recession on the U.S. Agricultural Labor Market

Author

Listed:
  • Fan, Maoyong
  • Pena, Anita Alves
  • Perloff, Jeffrey M.

Abstract

Recessions typically lead to excess supply in non agricultural labor markets. However, a major recession, like the Great Recession, has different effects in the seasonal agriculture labor market. During such recession, hourly earnings of workers, the probability that workers receive bonuses, and employed workers’ weekly hours rise. These results are consistent with a large reduction in immigrant labor supply during a major recession. Direct and indirect evidence on immigration supports this conclusion

Suggested Citation

  • Fan, Maoyong & Pena, Anita Alves & Perloff, Jeffrey M., 2015. "Effects of the Great Recession on the U.S. Agricultural Labor Market," Institute for Research on Labor and Employment, Working Paper Series qt15v0h4v7, Institute of Industrial Relations, UC Berkeley.
    • Handle: RePEc:cdl:indrel:qt15v0h4v7
    as

    Download full text from publisher

    File URL: https://www.escholarship.org/uc/item/15v0h4v7.pdf;origin=repeccitec
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Gardner, Bruce L., 1976. "The Effects Of Recession On The Rural-Farm Economy," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 8(1), pages 1-10, July.
    2. Woodbury, Stephen A, 1983. "Substitution between Wage and Nonwage Benefits," American Economic Review, American Economic Association, vol. 73(1), pages 166-182, March.
    3. Bruce Gardner, 1981. "On the Power of Macroeconomic Linkages to Explain Events in U.S. Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 63(5), pages 871-878.
    4. Enrico Moretti & Jeffrey M. Perloff, 2002. "Efficiency Wages, Deferred Payments, and Direct Incentives in Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(4), pages 1144-1155.
    5. J. Edward Taylor, 1992. "Earnings and Mobility of Legal and Illegal Immigrant Workers in Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(4), pages 889-896.
    6. Sabrina Isé & Jeffrey M. Perloff, 1995. "Legal Status and Earnings of Agricultural Workers," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(2), pages 375-386.
    7. Pena Anita Alves, 2010. "Legalization and Immigrants in U.S. Agriculture," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-24, February.
    8. G. Edward Schuh, 1976. "The New Macroeconomics of Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 58(5), pages 802-811.
    9. Schuh, G. Edward, 1976. "The New Macroeconomics Of Agriculture," 1976 Annual Meeting, August 15-18, State College, Pennsylvania 284009, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chad Lawley, 2020. "Potential impacts of COVID‐19 on Canadian farmland markets," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 68(2), pages 245-250, June.
    2. Charlton, Diane & Castillo, Marcelo J. & Hertz, Thomas, 2018. "Explaining the Growth in Agricultural Guest Worker Demand," 2018 Annual Meeting, August 5-7, Washington, D.C. 274171, Agricultural and Applied Economics Association.
    3. Amy M. G. Kandilov & Ivan T. Kandilov, 2020. "The minimum wage and seasonal employment: Evidence from the US agricultural sector," Journal of Regional Science, Wiley Blackwell, vol. 60(4), pages 612-627, September.
    4. Kandilov, Amy & Kandilov, Ivan T., 2018. "The Impact of the Minimum Wage on Employment, Earnings, Wages, and Hours in the U.S. Agricultural Sector," 2018 Annual Meeting, August 5-7, Washington, D.C. 274158, Agricultural and Applied Economics Association.
    5. Sarasty, Oscar & Amin, Modhurima & Badruddoza, Syed, 2022. "Impact of the COVID-19 pandemic on agricultural commodity prices," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322240, Agricultural and Applied Economics Association.
    6. Castillo, Marcelo & Charlton, Diane, 2021. "Housing Booms and H-2A Agricultural Guest Worker Employment," 2021 Conference, August 17-31, 2021, Virtual 315322, International Association of Agricultural Economists.
    7. Bradford L. Barham & Ana P. Melo & Thomas Hertz, 2020. "Earnings, Wages, and Poverty Outcomes of US Farm and Low‐Skill Workers," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 42(2), pages 307-334, June.
    8. Jennifer Scott & Joanna Mhairi Hale & Yolanda C. Padilla, 2021. "Immigration Status and Farmwork: Understanding the Wage and Income Gap Across U.S. Policy and Economic Eras, 1989–2016," Population Research and Policy Review, Springer;Southern Demographic Association (SDA), vol. 40(5), pages 861-893, October.
    9. Devadoss, Stephen & Luckstead, Jeff, 2017. "Immigration Policies and Farm Labor," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258435, Agricultural and Applied Economics Association.
    10. Luyi Han & Stephan J Goetz & Daniel Eades & Jason Entsminger & Doug Arbogast, 2023. "An early assessment of COVID-19’s impact on tourism in U.S. counties," Tourism Economics, , vol. 29(5), pages 1355-1375, August.
    11. Kandilov, Amy & Kandilov, Ivan T., 2018. "The Impact of the Minimum Wage on Health Insurance: Evidence from Agricultural Workers," 2018 Annual Meeting, August 5-7, Washington, D.C. 274175, Agricultural and Applied Economics Association.
    12. Ziyu Wang & Qiran Zhao & Yueqing Ji, 2024. "The Impact of Off-Farm Employment Recession and Land on Farmers’ Mental Health: Empirical Evidence from Rural China," Land, MDPI, vol. 13(6), pages 1-18, June.
    13. An Li & Jeffrey J. Reimer, 2021. "The US Market for Agricultural Labor: Evidence from the National Agricultural Workers Survey," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 1125-1139, September.
    14. Pedro Spindler-Ruiz, 2021. "Mexican Niches in the US Construction Industry: 2009–2015," Journal of International Migration and Integration, Springer, vol. 22(2), pages 405-427, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pena Anita Alves, 2010. "Legalization and Immigrants in U.S. Agriculture," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-24, February.
    2. Sun, Shiu-Jen, 1985. "The impact of macroeconomic developments upon the U.S. farm sector," ISU General Staff Papers 1985010108000018099, Iowa State University, Department of Economics.
    3. Ardeni, Pier-Giorgio & Rausser, Gordon C., 1990. "Alternative subsidy reduction paths: the role of fiscal and monetary policy linkages," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt5074f3vq, Department of Agricultural & Resource Economics, UC Berkeley.
    4. Dushmanitch, V. Y. & Darroch, M. A. G., 1990. "An Economic Analysis Of The Impacts Of Monetary Policy On South African Agriculture," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 29(4), December.
    5. Iwai, Nobuyuki & Emerson, Robert D. & Roka, Fritz M., 2009. "Labor Cost and Value of Citrus Operations with Alternative Technology: Enterprise DCF Approach," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46836, Southern Agricultural Economics Association.
    6. Petit, Michel, 1988. "Presidential Address," 1988 Conference, August 24-31, 1988, Buenos Aires, Argentina 183061, International Association of Agricultural Economists.
    7. Andino, Jose & Mulik, Kranti & Koo, Won W., 2005. "The Impact Of Brazil And Argentina'S Currency Devaluation On U.S. Soybean Trade," Agribusiness & Applied Economics Report 23486, North Dakota State University, Department of Agribusiness and Applied Economics.
    8. Richard E. Just & Gordon C. Rausser, 1989. "An Assessment of the Agricultural Economics Profession," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(5), pages 1177-1190.
    9. Moss, Charles B. & Baker, Timothy G. & Brorsen, B. Wade, 1987. "Effects of Structural Changes in Macroeconomic Policy on Agricultural Prices," 1987 Annual Meeting, August 2-5, East Lansing, Michigan 269970, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Knutson, Ronald D., 1985. "Role Of The Southern Agricultural Economics Association In Extension," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 17(1), pages 1-9, July.
    11. Pagan, Jose A., 1998. "Employer sanctions on hiring illegal labor: An experimental analysis of firm compliance," Journal of Economic Behavior & Organization, Elsevier, vol. 34(1), pages 87-100, January.
    12. Catherine Laroche-Dupraz & Marilyne Huchet-Bourdon & Anned-Linz Senadin, 2012. "Impact du taux de change sur la sécurité alimentaire des pays en développement," Post-Print hal-02746844, HAL.
    13. M. Huchet Bourdon & C. Laroche Dupraz, 2014. "National food security: a framework for public policy and international trade," FOODSECURE Working papers 17, LEI Wageningen UR.
    14. Cornell, Laurence D. & Sorenson, Vernon L., 1986. "Implications of Structural Change in U.S. Demand for Meat on U.S. Livestock and Grain Markets," Agricultural Economic Report Series 201355, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    15. Zobbe, Henrik, 2002. "On The Foundation Of Agricultural Policy Research In The United States," Staff Papers 28644, Purdue University, Department of Agricultural Economics.
    16. Pagoulatos, Emilio & Azzam, Azzeddine & Kitazawa, Motoichiro, 1990. "An Econometric Analysis of the Forward Premium in the International Corn Market," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 17(3), pages 335-347.
    17. Iwai, Nobuyuki & Emerson, Robert D. & Roka, Fritz M., 2009. "Harvest Cost and Value of Citrus Operations with Alternative Technology: Real Options Approach," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49942, Agricultural and Applied Economics Association.
    18. Dragan Miljkovic & Jungho Baek, 2019. "Monetary impacts and overshooting of energy prices: the case of the U.S. coal prices," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 32(3), pages 317-322, November.
    19. Deaton, Brady J. & Nelson, Glenn L., 1992. "Conceptual Underpinnings Of Policy Analysis For Rural Development," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 24(1), pages 1-13, July.
    20. Yazdanpanah, Ahmad, 1994. "The impact of oil price on food security in the Algeria, Iran, and Saudi Arabia: cointegration, vector-error correction model, dynamics, and causality analysis," ISU General Staff Papers 1994010108000011661, Iowa State University, Department of Economics.

    More about this item

    Keywords

    Social and Behavioral Sciences; agriculture; Great Recession; immigrants; recession; undocumented workers;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cdl:indrel:qt15v0h4v7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Lisa Schiff (email available below). General contact details of provider: https://edirc.repec.org/data/irucbus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.