The rate of return on farm assets is a key indicator of the profitability of farm sector investments. The residual income approach is most commonly used to estimate the returns to farm assets, farmland, and labor and management. However this approach may be sensitive to the underlying...

This paper examines the changes in farm sector wealth from 1949 through 2002. The study uses Theil’s entropy-based measure of inequality of farm wealth for 10 regions of the United States. The entropy measure is then used to decompose U.S. inequality into within-region and between-region...

Purpose – The purpose of this paper is to use the DuPont expansion to examine those factors underlying differences in (rates of) return on different crop portfolios over space (ten regions) and time (1960-2004). The paper also estimates the impact of government payments on farmland values...

Purpose – The purpose of this research is to examine the effect of accounting for complex organizational forms on data collection with the Agricultural Resource Management Survey (ARMS). Design/methodology/approach – This research reviews the literature from accounting theory along with the...

Purpose – The purpose of this research is to examine the usability and communication methods of the Agricultural Resource Management Survey (ARMS) data. Recommendations for improving access and usability are proposed to Economic Research Service (ERS). Design/methodology/approach – The...

Purpose – The purpose of this research is to analyze possible implications of the economic measures presented in the balance sheet and income statement of the farm firm. Design/methodology/approach – Accounting principles and the users of accounting information are studied. From a review of...

Purpose – To identify periods of severe stress, and potentially take action to avoid or dampen their negative effects, lenders and policymakers need accurate and reliable data on US farm debt supply and credit needs. The purpose of this paper is to assess the current availability of...

Purpose: Over the past four decades, real values of farm real estate and the share of assets on farmers’ balance sheets attributed to farm real estate have increased. The purpose of this paper is to examine the factors that explain the concentration of the US agricultural balance sheet around...

The first theme addressed in this paper is agricultural asset performance. The low rate of return on agricultural assets has been of particular interest to policy makers. From a market portfolio perspective, several studies have analyzed the relationship between farm asset returns and systematic...

Purpose – The aim of this study is to use a financial approach based on the Du Pont expansion to investigate the impact of demographics, specialization, tenure, vertical integration, farm type, and regional location on the three levers of performance (ROE) – namely, net profit margins, asset...