Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income
Using farm machinery plays a significant role in easing the issue of slowing growth of operating income among farm households in China. Drawing data from CFPS2018, this study adopts a multinomial endogenous switching regression (MESR) to analyze the factors influencing farm households’ choices regar...
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MDPI AG
2024-10-01
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| Series: | Agriculture |
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| Online Access: | https://www.mdpi.com/2077-0472/14/11/1936 |
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| author | Yuan Hu Ziyang Zhou Li Zhou Caiming Liu |
| author_facet | Yuan Hu Ziyang Zhou Li Zhou Caiming Liu |
| author_sort | Yuan Hu |
| collection | DOAJ |
| description | Using farm machinery plays a significant role in easing the issue of slowing growth of operating income among farm households in China. Drawing data from CFPS2018, this study adopts a multinomial endogenous switching regression (MESR) to analyze the factors influencing farm households’ choices regarding self-owned farm machinery and outsourced machinery services, as well as their subsequent impact on operating income. The results of the study show that the characteristics of the head of household, family, village, and region have a significant impact on the farm households’ selection of whether to use self-owned machinery or outsourced services. Furthermore, the exclusive use of self-owned farm machinery and the combined use of both self-owned and outsourced machinery substantially enhance farm households’ operating income. An additional analysis indicates that these two types of machinery are complementary, and their combined use generates a superimposed effect that further boosts income. These findings suggest that the combined use of self-owned and outsourced machinery is optimal for farm households who wish to expand their operating income. |
| format | Article |
| id | doaj-art-dd505f05006346e080fd6eaa56e664e2 |
| institution | OA Journals |
| issn | 2077-0472 |
| language | English |
| publishDate | 2024-10-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Agriculture |
| spelling | doaj-art-dd505f05006346e080fd6eaa56e664e22025-08-20T01:53:42ZengMDPI AGAgriculture2077-04722024-10-011411193610.3390/agriculture14111936Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating IncomeYuan Hu0Ziyang Zhou1Li Zhou2Caiming Liu3College of Management, Sichuan Agricultural University, Chengdu 611130, ChinaCollege of Management, Sichuan Agricultural University, Chengdu 611130, ChinaCollege of Management, Sichuan Agricultural University, Chengdu 611130, ChinaCollege of Management, Sichuan Agricultural University, Chengdu 611130, ChinaUsing farm machinery plays a significant role in easing the issue of slowing growth of operating income among farm households in China. Drawing data from CFPS2018, this study adopts a multinomial endogenous switching regression (MESR) to analyze the factors influencing farm households’ choices regarding self-owned farm machinery and outsourced machinery services, as well as their subsequent impact on operating income. The results of the study show that the characteristics of the head of household, family, village, and region have a significant impact on the farm households’ selection of whether to use self-owned machinery or outsourced services. Furthermore, the exclusive use of self-owned farm machinery and the combined use of both self-owned and outsourced machinery substantially enhance farm households’ operating income. An additional analysis indicates that these two types of machinery are complementary, and their combined use generates a superimposed effect that further boosts income. These findings suggest that the combined use of self-owned and outsourced machinery is optimal for farm households who wish to expand their operating income.https://www.mdpi.com/2077-0472/14/11/1936self-owned farm machineryoutsourced machinery servicesoperating incomesuperimposed effectmultinomial endogenous switching regression |
| spellingShingle | Yuan Hu Ziyang Zhou Li Zhou Caiming Liu Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income Agriculture self-owned farm machinery outsourced machinery services operating income superimposed effect multinomial endogenous switching regression |
| title | Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income |
| title_full | Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income |
| title_fullStr | Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income |
| title_full_unstemmed | Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income |
| title_short | Self-Owned or Outsourced? The Impact of Farm Machinery Adoption Decisions on Chinese Farm Households’ Operating Income |
| title_sort | self owned or outsourced the impact of farm machinery adoption decisions on chinese farm households operating income |
| topic | self-owned farm machinery outsourced machinery services operating income superimposed effect multinomial endogenous switching regression |
| url | https://www.mdpi.com/2077-0472/14/11/1936 |
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