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Full-Text Articles in Life Sciences
Is Aging The Important Factor For Sustainable Agricultural Development In Korea? Evidence From The Relationship Between Aging And Farm Technical Efficiency, Jun Ho Seok, Hanpil Moon, Gwanseon Kim, Michael R. Reed
Is Aging The Important Factor For Sustainable Agricultural Development In Korea? Evidence From The Relationship Between Aging And Farm Technical Efficiency, Jun Ho Seok, Hanpil Moon, Gwanseon Kim, Michael R. Reed
Agricultural Economics Faculty Publications
This paper examines the effects of aging and income subsidies on farm efficiency in Korea by utilizing the Korean Farm Household Economic Survey from 2008 to 2015. A stochastic frontier model with a non-monotonic assumption on the effect of efficiency factors is implemented to reflect a super aging and less developed production structure in Korean agriculture. This study finds continuously decreasing farm efficiency with age, which contradicts the commonly assumed inverted-U relationship between age and productivity. Especially, we find that labor is the most important factor to explain recent farm efficiency losses in Korea. Furthermore, this paper finds that the …