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Farm Size, Technology Adoption and Agricultural Trade Reform: Evidence from Canada

Brown, W. Mark and Ferguson, Shon and Viju-Miljusevic, Crina (2020). Farm Size, Technology Adoption and Agricultural Trade Reform: Evidence from Canada. Journal of Agricultural Economics. 71 , 676-697
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Abstract

Using detailed census data covering over 30,000 farms in Alberta, Saskatchewan and Manitoba, Canada, we document the vast and increasing farm size heterogeneity, and analyse the role of farm size in adapting to the removal of an export subsidy in 1995. Consistent with the Alchian-Allen hypothesis, the increase in per-unit trade costs due to the reform was associated with farms of all sizes shifting their production of crops from low value wheat to higher value canola. We find that switching to new labour-saving tillage technologies and away from summerfallow in response to the large negative shock to grain prices caused by the reform varied across the farm size distribution. We develop a theory of heterogenous farms and technology adoption that can explain our findings.

Authors/Creators:Brown, W. Mark and Ferguson, Shon and Viju-Miljusevic, Crina
Title:Farm Size, Technology Adoption and Agricultural Trade Reform: Evidence from Canada
Year of publishing :2020
Volume:71
Page range:676-697
Number of Pages:22
Publisher:John Wiley & Sons Ltd, Agricultural Economics Society
ISSN:0021-857X
Language:English
Publication Type:Journal article
Article category:Scientific peer reviewed
Version:Published version
Copyright:Creative Commons: Attribution-Noncommercial-No Derivative Works 4.0
Full Text Status:Public
Subjects:(A) Swedish standard research categories 2011 > 5 Social Sciences > 502 Economics and Business > Economics
Keywords:Agricultural trade liberalization, export subsidy, farm size, firm heterogeneity, technical change
URN:NBN:urn:nbn:se:slu:epsilon-p-105174
Permanent URL:
http://urn.kb.se/resolve?urn=urn:nbn:se:slu:epsilon-p-105174
Additional ID:
Type of IDID
DOI10.1111/1477-9552.12372
Web of Science (WoS)000522744500001
ID Code:17380
Faculty:NJ - Fakulteten för naturresurser och jordbruksvetenskap
Department:(NL, NJ) > Dept. of Economics
Deposited By: SLUpub Connector
Deposited On:02 Sep 2020 09:42
Metadata Last Modified:02 Sep 2020 09:42

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