How Valuable Is On-Farm Work to Farmers?

In this article, we estimate a rural household model that allows specific tastes for working on-farm and can fit the data as well as the general model of Lopez . We use two samples that are matched by individual characteristics and adopt the method for matched surveys proposed by Arellano and Meghir . We replicate using French data, the empirical finding of Elhorst who reports evidence that implicit wages of on-farm family labor are significantly below off-farm wages. We then provide estimates of the lower bounds for preferences for on-farm work for males and females which are significant and positive.