Farm Income Variability and the Supply of Off-Farm Labor by Limited-Resource Farmers

We study the relationship between the off-farm labor decision and the limited-resource farmers\u27 and spouses\u27 off-farm wages, experience, education, and sources of income. We found that farmers\u27 and spouses\u27 off-farm experience and wages are significant factors in explaining the off-farm labor supply decision. Contrary to expectations, farm income variability is not significant in the farmers\u27 and spouses\u27 decision to seek off-farm work. The off-farm labor supply of farmers and their spouses is negatively correlated with income transfers from the government. It was also found that the spouse is a residual supplier of on-farm and off-farm labor