Agricultural Labor Productivity Research Articles

Assessing Agricultural Impact on Greenhouse Gases in the European Union: A Climate-Smart Agriculture Perspective

With the increasing concern about climate change and its impacts on agriculture, understanding the dynamics of greenhouse gas (GHG) emissions in the European Union (EU) agricultural sector is essential for devising effective mitigation strategies. This study aims to assess the impact of agriculture on GHG within the EU and to examine how climate-smart agricultural practices can affect these emissions. The research investigates the complex relationship between agricultural activities and GHG emissions within the European Union during the period of 2017–2022 using structural equation modeling based on data from Eurostat and the European Commission. Furthermore, the study examines the influence of the digital economy on labor productivity in agriculture, recognizing the pivotal role of digital technologies in fostering climate-smart agricultural practices. The findings unveil significant positive influences encompassing the digital economy, agricultural productivity, agricultural output, and GHG emissions, underscoring the imperative of integrating climate-smart methodologies into agricultural frameworks. However, the influence of digital technologies is not significant as a result of opposing forces. Digital technologies exert positive indirect influences by increasing agricultural productivity and agricultural output, while they have negative influences by improving production processes through automation and precision agriculture. Digitalization and climate-smart agricultural practices have a significant potential to improve the efficiency and sustainability of the agricultural sector, contributing to food security and environmental protection by reducing GHG emissions. This study highlights the EU’s potential to achieve its environmental objectives through the reduction of GHG emissions and the enhancement of resilience within the agricultural sector, emphasizing the necessity of adopting climate-smart strategies.

Sustainability assessment of the agriculture sector using best worst method: Case study of Baltic states

AbstractSustainable agriculture development holds significant global and regional importance, particularly within the Baltic countries. On a global scale, it is a critical strategy for meeting the escalating demand for food while simultaneously mitigating the adverse environmental and social consequences associated with agricultural practices. In the context of the Baltic nations, where agriculture constitutes a substantial portion of the economy, the adoption of sustainable farming practices is imperative for ensuring the sector's long‐term viability, safeguarding the integrity of the region's distinct ecosystems, and guaranteeing food security for their populations. A comprehensive understanding of the opportunities and challenges facing Baltic agriculture is impeded by a notable research deficiency concerning the intricate and distinct problems facing these nations. The use of indicators to assess economic sustainable agriculture indicators plays a pivotal role in guiding agricultural practices. By taking social and environmental variables into account, these metrics quantify the economic viability of farming. Consequently, these indicators empower policymakers and farmers alike to make well‐informed decisions, striking a balance between profitability and resource conservation, thereby contributing to the enduring sustainability of agriculture in the Baltic countries and beyond. Notably, a comprehensive assessment of economic sustainability in agriculture identified 31 indicators, which were refined to 9 through expert consensus using the Delphi method. Subsequently, the best worst method was applied to rank these indicators. The results indicate that investment intensity, diversification of income, agricultural labor productivity, and market access emerge as the most crucial indicators for ensuring economic sustainability in agriculture.

Cooperation of small and medium in agriculture of the Republic of Kazakhstan

The process of uniting small and medium-sized businesses in the agro-industrial complex into agricultural cooperatives is very relevant for the Republic of Kazakhstan, given the small-scale nature of agricultural production and the high share of households in the total volume of agricultural production. gross agricultural output and, accordingly, low labor productivity in agriculture. The purpose of the study is to study the development of agricultural cooperation in Kazakhstan and identify problems hindering the development of the cooperative movement, and suggest directions for further development in the field of cooperation in the country. To study processes and phenomena in the field of organizational and economic relations, various methods were used, such as analysis and synthesis, the use of systematic and logical approaches to the study of trends in the development of agricultural cooperation. The essence of the efficiency of cooperative formations functioning is formulated. The world and domestic experience of agricultural cooperation development has been studied, which allowed to identify the main prerequisites for the development of small and medium-sized business in the agro-industrial complex of the Republic of Kazakhstan. The article presents existing problems that impede their development, and in conclusion, the authors offer recommendations on measures of state regulation and support for the development of agricultural cooperation in the Republic of Kazakhstan. It is necessary, first of all, to direct efforts to the development of production cooperation of small and medium-sized farms, which have the opportunity to organize joint production of agricultural products, use of land resources, agricultural machinery, and introduce advanced growing technologies. agricultural products in order to preserve the fertility of agricultural land and use a unified scientifically based crop rotation system. All this will ultimately increase the volume of agricultural production, animal productivity, increase crop yields and labor productivity.

Understanding the distribution patterns and underlying mechanisms of non-grain use of cultivated land in rural China

How to control the non-grain use of cultivated land (NGUCL) for the simultaneous development of food security, rural revitalization, and ecological protection has been a major topic of global concern. However, insufficient understanding of the pattern and its underlying mechanisms has posed major challenges for related policy-making. To bridge this gap, this study established a theoretical framework for NGUCL analysis and employed quantitative methods to reveal the NGUCL pattern and its mechanisms. The key finding is that there was a core–edge model of NGUCL distribution pattern from the suburbs to the remote suburbs; this was determined by a policy–market–site coupling mechanism and non-grain market location enhanced mechanism. The foremost contribution of this study is that it presents a global understanding of the core–edge model using a coexisting pattern analysis on NGUCL from the suburbs to the remote suburbs based on our understanding of non-grain growing behaviors. To strengthen control of NGUCL, we propose implementing regionally differentiated policies for cultivated land protection together with spatial planning for crop growing. We argue that the key to policy improvement is to maximize agricultural labor productivity in accordance with market demand. The findings and suggestions of this study are significant for China and other regions to promote NGUCL control and cultivated land protection.

Assessing the potential of ICT to increase land and labour productivity in agriculture: Global and regional perspectives

AbstractIncreasing agricultural productivity in low‐ and middle‐income countries (LMICs) is an important channel for reducing poverty and food insecurity. Information and communication technologies (ICT) have the potential to boost agricultural productivity by lowering transaction costs and enhancing access to information. Even though there are several micro‐level studies analysing the effects of ICT on agricultural productivity, there is scant research addressing the role of ICT in agricultural productivity at the global and regional levels. Using data from 86 countries for the period 2000 to 2019 and utilising a fixed effect panel regression with a feasible generalised least square approach, we find that globally there is a positive and significant association between ICT uptake and both land and labour productivity in agriculture. In each case, however, the magnitude of the effect is much smaller than other important determinants, such as human capital, access to inputs or environmental factors. At the regional level, the relationship between ICT uptake and land productivity is not significant in Africa and Asia, while we find a significant effect on labour productivity. This finding indicates that while ICT can provide valuable information and tools for land management, the effect on land productivity might be less immediate in these regions. Finally, we revisit the question of whether ICT expansion increases agricultural productivity gaps between high‐income nations and LMICs. In contrast to previous research, this study does not find significant differences in the effects of ICT on land and labour productivity between higher‐income and lower‐income countries.

Результативность и эффективность государственной поддержки аграрного производства

The article considers the volume of budget allocations, results and effectiveness of state support. Its size increased 2.1 times in 2013-2022, which contributed to a 2.6-fold increase in agricultural production, including 3.2 times in agricultural organizations and farms. Labor productivity in agriculture increased by 12.2%, value added in agriculture increased by 71.5%, wages – by 63.2%. Agricultural exports have increased sharply and imports of agricultural products and food have decreased, food security indicators for most food products have been achieved. The effectiveness of state support has increased: for 2013-2022, production per 1 RUB allocations increased by 19.4%, including in agricultural organizations and farms – by 50.0%, the share of profitable organizations increased by 9.1 percentage points, the level of profitability of agricultural organizations, taking into account subsidies, increased by 11.0 percentage points, excluding subsidies – by 18.0 percentage points. However, the production of some types of agricultural products is unprofitable. To increase the profitability of production, it is necessary to improve the mechanism of state support for agricultural industries.

Economic consequences of climate change impacts on South Asian agriculture: A computable general equilibrium analysis

AbstractSouth Asia is one of the most vulnerable regions of the globe in terms of climate change, with agriculture the most affected economic sector of the region. This study employs an environmental Global Trade Analysis Project model to simulate the impact of an average global 2°C temperature increase by 2050, with a focus on South Asian countries. The economic costs of climate change in relation to crop productivity losses due to increasing temperature, land productivity losses caused by rising sea levels and heat stress‐induced agricultural labour productivity losses are assessed based on model simulations. The results show that the unfavourable climate change impacts on agricultural productivity (crop, land and labour) will reduce food production and create upward pressure on food prices. This will lead to a reduction in food consumption at the household level, threatening future food security in the region. The results further predict a contraction in all South Asian economies by 2050, due to adverse climate change impacts on the agricultural sector. In addition, out of the three climate change damage factors considered, labour productivity causes the greatest economic losses, while land productivity losses caused by rising sea levels impact the least. The study also found that low‐income countries would suffer most severely due to the impacts of climate change on the agricultural sector, while high‐income countries would be impacted the least.

Exploring the Drivers of Microregional Agricultural Labor Productivity: Empirical Insights from Portugal

Understanding the factors that influence agricultural productivity is critical for promoting sustainable food production, economic growth, and rural livelihoods. Despite the fact that numerous theoretical and empirical studies on agricultural productivity have been conducted in recent decades, few have focused on the local geographical level, investigating the impact of specific agroecological conditions and farming systems. The current study examines the geographical micro-level determinants of labor productivity for all farmers and agricultural holdings in Portugal by estimating the parameters of an extended Cobb–Douglas production function and using panel data techniques. In general, the findings support major findings in empirical and theoretical literature that show a positive relationship between labor productivity and farm size, mechanization, irrigation, and human capital. Labor productivity is higher in regions with a higher prevalence of Mediterranean farming systems, such as orchards, vineyards, and horticultural crops, possibly due to crop suitability and ancient specialized knowledge, implying that a shift in farming techniques and crop selection, in balance with local natural and social specificities, may increase agricultural output and income for rural communities.

Why did agriculture's share of Australian gross domestic product not decline for a century?

AbstractThe agricultural sector's share of gross domestic product (GDP) in growing economies typically declines but, for a century from the early 1850s, Australia's did not. Drawing on recent structural transformation literature, this paper seeks explanations for this unusual phenomenon, which is all the more striking because agriculture's share of employment continued to decline throughout and growth in manufacturing was being stimulated by tariff protection from imports. Several factors contributed, including a huge land frontier that took more than a century for settlers to explore, rapid declines in initially crippling domestic and ocean trade costs for farm products, the absence of a need to do any processing of the two main exports during that period (gold and wool) and innovations by farmers and via a strong public agricultural R&D system that contributed to farm labour productivity nearly doubling over those 10 decades. The ban on iron ore exports from 1938 and low export prices for fuels, minerals and metals during the two world wars and in the intervening decades also contributed.

How does transport development contribute to rural income in China? Evidence from county-level analysis using structural equation model

Transport development has often been regarded as a solution for increasing rural income. However, most existing studies focusing on the promotion effects of transport development on rural income fail to provide quantitative analysis of its influencing pathways. This study investigates the pathways linking county-level transport development to rural income in China. We first examined the spatial pattern of transport development, including density, proximity, and accessibility, in all Chinese counties from 2014 to 2019. Then, we analyzed both the association and influencing pathways between transport development and rural income using structural equation modeling (SEM). Finally, we compared the various effects and pathways among counties with different terrains, geographical locations, and poverty conditions through multigroup SEM analysis. The results suggest that transport development is associated with an increase in rural residents’ income primarily through the pathways of increasing nonfarm employment ratios, improving agricultural labor productivity efficiency, boosting urbanization rates, and enhancing access to basic public services. The most significant pathways through which transport development contributes to rural income growth in China are changes in nonfarm employment ratios and urbanization rates. The impact of transport development on rural incomes is more pronounced for counties in plain areas than counties in hilly and mountainous areas, more substantial in eastern counties than in central and western counties, and more pronounced in non-poverty-stricken counties than poverty-stricken ones. It is argued that transport alone cannot lead to significant rural revitalization in rural China; it must be accompanied by industrial development strategies.

Convergence Processes in the European Agriculture: Analysis of the Total Factor of Productivity

The article explored labour productivity in agriculture and carried out a comparative analysis of the achieved level of labour productivity in the countries of the European Union. The efficiency of agricultural production needs to be measured to improve the productivity, competitiveness, and profitability of farms. The multifactorial total factor productivity (MFP) of agricultural production evaluates the main and additional sources of economic growth in the agricultural sector. Based on the analysis of beta convergence, we observe an increase in total factor productivity (TFP) in Slovakia and the countries of the European Union. Based on the obtained statistically significant regression analysis models, beta convergence and sigma divergence of the TFP of the agricultural sector in the EU and Slovakia were identified. Thus, the process of positive convergence was confirmed, which indicates the convergence of the economic development of Slovakia with highly developed countries and the reduction of disparities between countries. State support and investment in innovative technologies will stimulate the adoption of new technologies and at the same time ensure technological progress and improve the impact of agriculture on the environment. We also concluded that it is important to improve the skills of those working in the agricultural sector, and as a result, an increase in TFP is expected.

Determinants of Agricultural Income to Promote Economic Sustainability in Indonesia

Indonesia is an agricultural country where most of the population works as farmers. The share of the agricultural sector in Gross Domestic Product (GDP) ranks third, with an average informal sector employment of 88.34% in the last five years. This study aims to analyze the factors that influence the contribution of the agriculture sector to economic sustainability growth, proxied by national income, in the short and long run through the Error Correction Model (ECM) regression analysis tool with time series data of Indonesia for the 1991 – 2020 period through four independent variables; arable land, agricultural machinery, GDP growth per capita, and labor productivity of the agricultural sector. The results showed that Arable Land has a positive effect on Agricultural Income, significant in the long run but insignificant in the short run. Agricultural Machinery and Labor Productivity have a significant positive effect both in the short and long run. Then, the GDP per capita growth has a significant negative effect in the short and long run. From the results of the research, several policy recommendations have been compiled for the advancement of the agricultural sector in Indonesia, one of them is the intensification of machinery utilization.

Does economic agglomeration affect the sustainable intensification of cultivated land use? Evidence from China

The sustainable intensification (SI) of cultivated land use (CLU) is important for achieving global sustainable development goals (SDGs). However, in the rapid advancement of agglomeration economies, it remains unclear whether economic agglomeration (EA) affects SI. Combined with emergy theory, this study utilized socioeconomic and natural environment data from 31 provincial administrative regions from 1990 to 2017 to evaluate the SI level in China. It further analyzed the impact of EA on SI using a spatial econometric model that includes mediating effects. The results showed that the EA level in China continued to rise, whereas the SI level continued to decline from 1990 to 2017. The mediating effect analysis showed that fiscal support for agriculture and agricultural labor productivity have a suppression effect of |−4.186|% and |−2.002|% in the local region, while cultivated land-use intensity has partial mediation of 6.350% in the local region; and agricultural labor productivity has a suppression effect of |−4.680|% on the surrounding region, while cultivated land-use intensity has stronger partial mediation relative to the local region, even up to 10.402% on surrounding regions. This implies that the impact of EA on SI involves complex paths and spatial differences. This study provides a better understanding of the reasons for the continuous decline in the SI in agglomeration-type economic development and feasible policy proposals.

Sustainable Development between Demonstration Farm and Agricultural Labor Productivity: Evidence from Family Farms in the Mountainous Area of Western China

Agricultural labor productivity is an important indicator that reflects the sustainable development of agriculture and rural areas. Demonstration farms provide an important link between small-scale farmers and modern agriculture in mountainous area of western China, which is playing an important role in improving labor productivity. This paper focuses on using the PSM-logit model and sensitivity analysis to empirically test the causal relationship between demonstration farms and labor productivity, and a micro-large sample of 1823 family farms was adopted. The highlighted findings are as follows: the average labor productivity of the demonstration farm is 2.8 times higher than that of the non-demonstration farm. There is a significant positive correlation between demonstration farms and labor productivity. Utilizing demonstration farms, when all control variables are added, can remarkably promote farm income by CNY301458 on average. In the matched sample, and under scenarios controlling for other covariates, we saw that demonstration farms can significantly enhance the farm income of CNY285108, CNY288509, and CNY291077 on average, respectively, after taking the radius matching, the kernel matching, and the nearest neighbor matching. The research inspired us to enhance the demonstrative establishment of family farms and accelerate the rate at which comprehensive development benefits are derived from demonstration farms. The results of this research could provide a policy reference for the promotion of high-quality development and the sustainable development of family farms in China and serve as an experience reference for promoting sustainable development of agriculture and rural areas globally.

Input Utilization and Agricultural Labor Productivity: A Gender Analysis (lay summary)

Input Utilization and Agricultural Labor Productivity: A Gender Analysis (lay summary)

Rural Population Aging, Capital Deepening, and Agricultural Labor Productivity

Whether the aging of rural population will affect the high-quality development of China’s agriculture is an important issue facing the construction of China’s characteristic modern agriculture. Using panel data from 30 provinces in China from 1999 to 2020, this paper used fixed effects models and mediation models for econometric regressions to explore the relationship between rural population aging and agricultural development, as well as the intermediate mechanisms involved. The study found that there was a positive relationship between rural population aging and agricultural labor productivity, and aging can stimulate agricultural development. Mechanism analysis revealed that rural population aging can promote the adjustment of the structure of agricultural factors, drive the deepening accumulation of capital and other factors, promote the modernization of agricultural production methods, and ultimately achieve an increase in agricultural labor productivity. Further examination showed that the positive relationship between rural population aging and agricultural productivity gradually weakened as the degree of rural population aging deepened. The study provides empirical evidence for sustainable agricultural development in the context of population aging.

Agricultural Vulnerability to Climate Change: A Critical Review of Evolving Assessment Approaches

The cumulative negative effects of climate change make agriculture increasingly vulnerable, with severe food security challenges, especially for developing nations. A robust research approach and a logical methodical framework can holistically assess the occurrence and intensity of agricultural vulnerability in a bid to strategize mitigation measures. This paper includes an in-depth review of the existing body of literature on agricultural risk and vulnerability, apart from recent studies and metric measurements of vulnerability having an emphasis on agriculture. Unlike the high priority on climate indicators in the past, contemporary research is progressively comprehensive and multidisciplinary where socioeconomic factors are integrated to make the assessment all-encompassing. Though this review paper found six major types of methodologies, the current vulnerability studies are predominantly index-based experiments adapted from the IPCC vulnerability concept. However, there is considerable variation across experiments concerning vulnerability conceptualization, selection of indicators, weight assignment and indexing techniques. Majority of the indexes encapsulate expert-recommended variables under sensitivity, exposure, and adaptive capacity. Such index-based measurements describe and compare vulnerability over space and time in order to formulate actionable policy measures. Uniform and robust techniques in indicator selection and statistically tenable weight allocation should be pursued in future research. To make the index highly representative and validated, the inadequacy of community perception should be minimized through the integration of PRA techniques within the experimental framework. Emerging threats such as loss of labour productivity in agriculture should be included in the analysis. The components of vulnerability also need to be analysed to comprehend their individual share in overall vulnerability for well-targeted mitigation measures. Constraints of data insufficiency required for vulnerability studies need attention for quality vulnerability research in the future. With such set priorities and focus, future research outcomes in vulnerability evaluation should be more meaningful and policy-focused.

Comparing the effect of climate change on agricultural competitiveness in developing and developed countries

Climate change and agriculture are inextricably linked and influence one another. Many studies have been conducted on the topic, but none have focused on developing and developed countries. This study aims to investigate the relationship between climate change and agricultural competitiveness in developing and developed countries. This study examined data from 71 developing countries and 24 developed countries from 1990 to 2020 used the three-stage least squares method. This study found that agricultural competitiveness raises temperatures in developing countries while decreasing temperatures in developed countries. The temperature change has the same effect in developing and developed countries, namely reducing the agricultural competitiveness. However, agricultural competitiveness in developed countries is more sensitive to temperature changes. Other explanatory variables have varying effects on temperature and agricultural competitiveness. We propose the use of technology in agricultural business management, as well as each country's commitment to increase agricultural competitiveness while manage rise in temperatures. Every country must also make efforts to maintain currency stability, be prudent in dealing with economic openness, increase agricultural labor productivity, and improve agricultural business actors' education.

LAND AND LABOR EFFICIENCY CHANGES IN POLISH AGRICULTURE IN REGIONAL TERMS

In Poland, there is a significant diversification of efficiency in agriculture between voivodeships. Therefore, we expect efficiency convergence in line with the modernization process of agriculture in regions. The work aims to identify the scale and direction of changes in the efficiency of land and labor in farms in Poland in terms of voivodeships and to determine whether there is a convergence of the efficiency. Statistical data from Statistics Poland and data from the FADN on the results of farms for the years 2010-2020 were used in the analysis. In the period covered by the analysis, the average area of farms increased by 18% to 11.6 ha, and the level of employment decreased by as much as 31% to 9.5 AWU/100 ha. On FADN farms, the area increased by 15% to 40.4 ha, and the level of employment decreased by 10% to 4.9 AWU/100 ha. Land efficiency did not change significantly in real terms, and labor efficiency increased by 15-18% in real terms, depending on the region. It was found that the convergence between voivodeships occurred only concerning labor productivity in agriculture (in value of GVA/AWU). Convergence was not confirmed for labor productivity (in value of production/AWU), and divergence was observed both for land efficiency and productivity. This means that differences in the effectiveness of Polish agriculture between regions are permanent, and progress in agriculture by regions is at a similar pace. In the future, the main constraint on agriculture development in some regions will be the strong fragmentation of agriculture.

Agricultural input subsidies, extension services, and farm labour productivity nexus: Evidence from maize farmers in Tanzania

AbstractThis paper examines the effect of agricultural input subsidies (AIS) and agricultural extension services (AES) on farm labour productivity in plots planted with maize in Tanzania, using panel data from the National Panel Survey in Tanzania. To control for the endogeneity of the two programmes, a control function and instrumental variable approach is used to estimate the effects of AIS and AES on farm labour productivity. The results show that AIS and AES are significant in raising labour productivity in maize‐planted plots. Similarly, AIS and AES are also effective in increasing land productivity in these plots. Moreover, each programme has comparable effects on land productivity and farm labour productivity. These findings imply that public investments in AIS and AES are effective in raising farm productivity.