14 pages, via online journal, We combine nationally representative household and labor force survey data from 1992 to 2016 to provide a detailed description of rural labor market evolution and how it relates to the structural transformation of rural Vietnam, especially within the agricultural sector. Our study adds to the emerging literature on structural transformation in low-income countries using micro-level data and helps to answer several policy-related questions. We find limited employment creation potential of agriculture, especially for youth. Rural-urban real wage convergence has gone hand-in-hand with increased diversification of the rural economy into the non-farm sector nationwide and rapid advances in educational attainment in all sectors’ and regions’ workforce. Minimum wage laws seem to have played no significant role in increasing agricultural wages. This enhanced integration also manifests in steady attenuation of the longstanding inverse farm size-yield relationship. Farming has remained securely household-based and the family farmland distribution has remained largely unchanged. Small farm sizes have not obstructed mechanization nor the uptake of labor-saving pesticides, consistent with factor substitution induced by rising real wage rates. As rural households rely more heavily on the labor market, human capital accumulation (rather than land endowments) have become the key correlate of improvements in rural household well-being.
Online from publication 8 pages., Article highlights findings of a Farm Futures post-election survey among U.S. farmers. They show that nearly 90 percent of farmers believe taxes will go up under the Biden administration, 71% believe WOTUS will be overturned, and 22% believe markets will stabilize with a new trade strategy. "And four of every five farmers believe there will be less government ad hoc funds going to agriculture."
9 pages., Via online journal., Using an agent-based model we explore the model of slavery in modern business developed by Crane (2013). Taking the Spanish agricultural sector—specifically the area of Campo de Dalías in Almería where much of Europe's vegetables are grown—as a case, we find that labour exploitation flourishes in communities of like-minded companies that do not care about mainstream norms. We confirm which socio-economic aspects of labour demand/supply lead to slavery, while challenging the assumption that markets which are dominated by few employers are more prone to exploiting workers. We find that, regarding isolation and connectedness of employers, cluster effects and intense inter-employer communication are particularly effective drivers of underpayment if the cluster is homogenous in terms of wage level and if it is isolated from law-abiding employers. This means that employers tend to confirm and reinforce each other in their illegal behaviour, thus creating enclaves in which non-standard norms prevail and worker exploitation is regarded as legitimate. On the other hand, we see that breaking the isolation of employees among each other only increases pay levels if there are law-abiding employers, pointing to the potentially beneficial role social business and entrepreneurs, state-owned companies, or public entrepreneurs could play for transforming labour conditions of entire markets.
