Rural Population Growth, 1950-1990: The Roles of Human Capital, Industry Structure, and Government Policy

Posted: 27 Dec 2002

See all articles by Tzu-Ling Huang

Tzu-Ling Huang

Chung Yuan Christian University - Department of International Trade

Peter F. Orazem

Iowa State University and IZA; IZA Institute of Labor Economics

Darin Wohlgemuth

Iowa State University

Abstract

Human capital raises rural incomes, but this effect is swamped by higher returns to human capital in urban markets. This leads to 'brain drain' from rural areas. Populations grow more rapidly in rural counties that have a diversified employment base. Farm population grows faster (or declines more slowly) in counties with relatively high farm income, and nonfarm populations grow faster in counties with relatively high nonfarm income. However, higher farm incomes lead to slower nonfarm population growth and vice versa. Rural county government services financed by local taxes or debt have neutral or negative effects on population growth.

Suggested Citation

Huang, Tzu-Ling and Orazem, Peter Francis and Wohlgemuth, Darin, Rural Population Growth, 1950-1990: The Roles of Human Capital, Industry Structure, and Government Policy. American Journal of Agricultural Economics, Vol. 84, pp. 615-627, 2002, Available at SSRN: https://ssrn.com/abstract=320425

Tzu-Ling Huang

Chung Yuan Christian University - Department of International Trade

22 Pu-Jen, Pu-chung Li
Chung-Li, 32023
Taiwan

Peter Francis Orazem (Contact Author)

Iowa State University and IZA ( email )

260 Heady Hall
Ames, IA 50011
United States
515-294-8656/515-294-7740 (Phone)
515-294-0221 (Fax)

IZA Institute of Labor Economics

P.O. Box 7240
Bonn, D-53072
Germany

Darin Wohlgemuth

Iowa State University ( email )

613 Wallace Road
Ames, IA 50011
United States

HOME PAGE: http://www.public.iastate.edu/~darinw/homepage.html

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