Title: Examining agricultural export returns from Midwestern states

Authors: Anil Giri; Sankalp Sharma; Kyle Lovercamp; Iuliia Tetteh; John Tiner

Addresses: Agriculture Program, School of Natural Sciences, University of Central Missouri, 126 Grinstead Building, Warrensburg, MO 64093, USA ' Kent State University at Tuscarawas, 330 University Dr. NE New Philadelphia, OH 44663, USA ' Agriculture Program, School of Natural Sciences, University of Central Missouri, 126 Grinstead Building, Warrensburg, MO 64093, USA ' Department of Agriculture, Illinois State University, Turner 103 Campus Box 5000, Normal, IL 61790, USA ' Nebraska Economics and Business Association, Kearney, Nebraska, 68421, USA

Abstract: Most job losses in the United States (US) prior to and after the great recession were manufacturing related jobs as domestic producers decided to shift production to offshore locations. This also included export-oriented jobs. Almost 6% of total US exports comprise agricultural products. We therefore, investigate if agricultural exports increase median household income and decreased unemployment rate using a sophisticated simultaneous equation model. The results show that for Midwestern states an increase in animal and plant exports increased the median household income albeit minimally for majority of the states. We also empirically verify that an increase in the unemployment rate results in a decrease in median household income.

Keywords: US Ag. exports; Midwest; median household income.

DOI: 10.1504/IJTGM.2019.101540

International Journal of Trade and Global Markets, 2019 Vol.12 No.3/4, pp.394 - 411

Received: 17 Apr 2018
Accepted: 06 Sep 2018
Published online: 12 Aug 2019 *

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