Simulation of Impacts of Renting Land on Tenant Households’ Net Crop Income and Total Income by Farm Size Category, Based on 2007 Data
| Revenue from Renting-in Land | Impact of Renting-in Land | |||||
|---|---|---|---|---|---|---|
| Landholding Size Group | Acres Owned, Tenant Households (1) | Gross Crop Revenue from Rented Fields (2) | Net crop Revenue from Rented Fields (Col. 2, All Costs) (3) | Ratio of Net Crop Revenue to Tenant, to Rental Payment to Landlord (4) | Gain in Net Crop Income Compared to Not Renting (%) (5) | Gain in Total Household Income Compared to Not Renting (%) (6) |
| All tenant households | 3.29 | 25,320 | 12,470 | 2.19:1 | 25.13 | 6.58 |
| Bottom 20% | 0.70 | 21,612 | 12,311 | 2.77:1 | 41.58 | 11.43 |
| 2nd quintile | 1.53 | 22,407 | 12,455 | 2.98:1 | 33.25 | 10.41 |
| 3rd quintile | 2.25 | 21,554 | 10,931 | 2.29:1 | 29.37 | 6.21 |
| 4th quintile | 3.38 | 25,498 | 11,754 | 1.76:1 | 23.24 | 7.45 |
| Top 20% | 8.60 | 35,491 | 14,835 | 1.62:1 | 15.90 | 3.82 |
Note: The simulation is based on the quantity of land rented and rental payments made in 2007 by each renting household. Gross crop revenues are derived from the coefficients on rent-in dummy in Column 2 of Table 7 for total income and Column 5 of Table 7 for crop income.