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Direct payments and on-farm employment: evidence from a spatial regression discontinuity design.

In: 31. Jahrestagung der Österreichischen Gesellschaft für Agrarökonomie. 2021, Ed. Österreichische Gesellschaft für Agrarökonomie, Wien. 2021, 95-96.

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Riassunto:

Direct payments are regarded to be a suitable instrument to safeguard jobs in the agricultural sector. Empirical findings cannot unambiguously support this expectation. We further empirically investigate this research question under weak identifying assumptions using a spatial regression discontinuity design. The Swiss direct payments system creates a discontinuous jump for the amount of public subsidies a farm receives. We find that additional 50,000 Swiss francs can generate a job for a female family worker. Male employment is not affected.

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