Agricultural production is shifting to larger farms, and farmers are relying more on contracts--and less on spot markets--to buy and sell inputs and products. Even so, small farms are still important, and most transactions continue to be made through spot markets. Research on "farm structure" covers these elements, and also includes the ownership and organization of farm businesses; the links among farms, farm households, buyers, input providers, and contractors; and the mix of inputs and products on farms. Farm structure both affects and is affected by public policy and the economy at all levels. The ERS research program in farm structure describes important developments in the farm sector and for specific commodities, assesses their causes, and evaluates their impacts on productivity, financial performance, prices, and environmental outcomes.

ERS researchers seek to identify and analyze the key factors affecting farm structure and prepare periodic reports on the changing structure and finances of the diverse types of U.S. farms, including the Family Farm Reports (see the latest in the series, Structure and Finances of U.S. Farms: Family Farm Report, 2010 Edition, or see all in the Family Farm Report series).

ERS also tracts the use of contracts in agriculture across time and commodities (see reports in the Agricultural Contracting Update series).

Finally, ERS and NASS collect and publish data (see Agricultural Resource Management Survey (ARMS)) on structural characteristics summarized annually for various classifications of farms, such as commodity specialization and sales class, and various farm typologies (e.g., rural residence, intermediate and commercial farms) to help better understand the changing nature of farming.

Last updated: Saturday, May 26, 2012

For more information contact: Robert Hoppe and Doris Newton