U of Aarhus Economics Working Paper No. 2001-11
36 Pages Posted: 26 Nov 2001
Date Written: November 20, 2001
This paper considers off-farm labour activities by agricultural households in Nicaragua. It compares the role of: i) comparative advantages of households and individuals; and ii) agricultural conditions and market imperfections, in shaping off-farm labour supply. An econometric specification is developed which allows for random household-specific effects and easy estimation. Results reveal that non-agricultural off-farm work is largely determined by comparative advantages, whereas agricultural off-farm work is used extensively to deal with a number of agricultural conditions and market imperfections.
Keywords: Off-farm labour supply, household behaviour, household-specific effects
JEL Classification: O1, D1, J22, J43, N36, Q12
Suggested Citation: Suggested Citation
Malchow-Moeller, Nikolaj and Svarer, Michael, Off-farm Activities by Agricultural Households in Nicaragua: Exploiting Comparative Advantages or Fighting Agricultural Problems? (November 20, 2001). U of Aarhus Economics Working Paper No. 2001-11. Available at SSRN: https://ssrn.com/abstract=291964 or http://dx.doi.org/10.2139/ssrn.291964