Abstract
Patterns of interindustry flows of hired agricultural labor in the period 1957–1960 are analyzed through the use of longitudinal data developed from Social Security records. An attempt is made to account for the observed fact that despite sizable out-migration of human resources from the agricultural sector there has been little, if any, increase in relative returns to labor in agriculture. Generally, this has been explained in terms of the presence of a dynamic disequilibrium in the agricultural labor market. However, an alternative explanation is offered, viz., that the market for agricultural labor has been in dynamic equilibrium, with the equilibrium earnings differential between the agricultural and nonagricultural sectors reflecting the combination of costs of movement (both objective and subjective) and artificial barriers to labor mobility between these sectors.
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