Commodity prices and intra-household labor allocation

Beck, Ulrik and Singhal, Saurabh and Tarp, Finn (2019) Commodity prices and intra-household labor allocation. American Journal of Agricultural Economics, 101 (2). pp. 436-454. ISSN 0002-9092

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Volatility in commodity markets poses a distinct risk to farmers in developing countries who rely on cash crop agriculture. We combine a time series of international coffee prices with a long-running panel on coffee-growing households in Vietnam to investigate coping mechanisms employed by farmers in a transitioning economy. We find that households cope with lower coffee prices by increasing wage labor of adults with children and adolescents substituting for adults on the farm. Heterogeneity analysis indicates a stronger substitution pattern among women, ethnic minorities, and households with fewer assets. A variety of robustness checks corroborate these findings. Account of this finding should be taken in formulating and implementing social protection and inclusive growth policies

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Journal Article
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American Journal of Agricultural Economics
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Deposited On:
27 Sep 2018 08:00
Last Modified:
22 Nov 2022 06:19