Professional Documents
Culture Documents
Andrew Schmitz and Charles B. Moss Mechanization in such countries as the United States and Can-
University of Florida ada has dramatically reshaped the agricultural landscape since
the time of early settlement. The introduction of new technolo-
gies—such as the mechanical tomato harvester, grain com-
bines, and large four-wheel-drive tractors—has resulted in an
increase in both farm size and agricultural output, a decrease in
the demand for farm labor, and the demise of rural comunities.
The adoption of new technologies results in losers and gainers;
a debate centers around whether losers should be compen-
sated. Agricultural labor includes workers that are employed in
packing and processing plants in which wages are generally low
(somewhere near the minimum wage) and working conditions
are less than desirable.
tion policies (i.e., the Bracero program initiated in 1942 The adoption of new farm technologies was
and ended in 1964 that provided immigrant labor pri- closely tied to the adoption of horses and mules,
marily from Mexico and the Simpson-Mazzoli Act of as opposed to oxen or human labor for power on
1986 which made it illegal to knowingly hire illegal US farms. They suggest that a common defini-
immigrants). On the other hand, the supply and demand tion of farm mechanization is the adoption of a
for owner-operator labor is affected by factors such as machine that allows farmers to substitute animal
agricultural programs, credit policies, and tax incen- (horse) power for human labor, thereby enabling
tives. Different policies have different impacts on the a farm worker to cultivate more area … per day
incentives for mechanization. Policies that affect the or week…. [I]n a sample of 628 Illinois farmers
cost of hired labor such as changes in minimum wages3 in 1860, mechanical reaper owners possessed 5.9
or immigration policies lead to mechanization in higher- horses and mules and 0.43 working oxen—twice
valued crops (typically replacing harvest labor such as the ratio of equine to bovines found in the sam-
in the case of the tomato and citrus harvester) while pol- ple area of Illinois in the general population of
icies that affect farm household labor impact mechanical farmers…. [F]rom 1850 to 1910, farm acres per
innovations affecting farm size (i.e., tractor size, tillage worker increased as horsepower per worker
and planting efficiency). increased” (Huffman, 2014, p. 111).
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 280
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 282
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 283
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 284
Potato Harvester
For many years, potatoes were hand harvested. During
the 1950s and 1960s, the number of mechanical potato
harvesters increased fivefold in the United States. Note
the similarity between the sugarcane harvester, for
example, and the potato harvester. Both of these use a
conveyer-belt system in the field for unloading the prod-
uct from the harvester to the loading wagon (Figure 13).
Grain Combines
The introduction of the grain combine replaced the early
Figure 16. Harvesting with horses.
technology where grain was harvested with threshing
Source: Julie Punishill website
machines driven by steam engines. Today, the grain
combine has been adapted for many more commodity
ers (Figure 14) and then “stooked” before being
crops, such as canola, lentils, and peas.
threshed separately using steam-powered threshing
The grain combine was first developed in the 1920s
machines (Figure 15). The labor used was a mix of
and was readily adopted by large farms. In 1925, 37% of
migrant, local, and family. Farmers tended to own their
farms between 380 and 600 acres had grain combines,
harvest machines, while custom operators owned
while only 20% of farms between 200 and 360 acres had
threshers (Isern, 2004).
combines (Table 1).
Once combines were introduced, their use lowered
Prior to the advent of the combine, small grains at
harvesting costs, shortened the harvesting season, and
harvest were first made into sheaves by the use of bind-
increased the acreage of wheat that one farmer could
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 286
Figure 21. Planting rice by hand. Figure 23. Planting rice with an airplane.
Source: Nolathe’s Blog website Source: Louisiana State University Ag Center website
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 288
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 289
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 291
Figure 30. Confinement pork operation. Figure 31. Turkey feeding operation.
Source: Epoch Times website Source: Journalstar.com
mals; by 2007, that fraction rose to 95% (Food and Related to the layer hen and egg industry is the
Water Watch [FWW], 2010). Furthermore, this rapid broiler chicken industry. From 1997 to 2007, the number
concentration occurred mostly in the Southeast, espe- of broiler chickens on the largest farms increased by
cially in North Carolina, due to lenient zoning and lack 87% to almost one billion. A remarkable aspect of the
of strict environmental regulations. As such, mechaniza- broiler industry is the degree to which it is vertically
tion of certain aspects of hog farming developed along- integrated. Large producers and companies (such as
side the rapid growth of the farms. As more hogs were Tyson) own and control the majority of the supply
produced under concentrated feeding, the introduction chain; production at the farm level is linked to post-pro-
of mechanical feeding essentially allowed feeding to duction operations, including slaughter of poultry, prep-
become more precise. Additionally, technology has been aration of meat cuts, and packing of eggs for the
introduced for “mechanical manure handling and dis- supermarket/retail trade. Large-scale chicken and turkey
posal, control of the internal pig house environment, production involves producers who raise baby chicks
heating/cooling systems, and malodor control (Figure and poults according to the standards set by the compa-
30). Of these applications and systems, those posing the nies and then send back for processing (Figure 31).
greatest future challenge are concerned with pollution of As such, farmers have been transformed into virtual
the external environment (water, air) and animal wel- subcontractors in that they are compensated for the act
fare” (McNulty & Grace, 2009, p. 15). of raising the birds, not the actual chickens. This form of
Another example of the livestock industry becoming compensation in part explains the rapid concentration of
increasingly centralized is the layer hen and egg indus- the broiler industry because to increase profits, farmers
try. From 1997 to 2007, the number of egg-laying hens must increase the number of birds in their facility. In
on large farms increased by 23.6% while the number of addition, much of the care required by the individual
farms decreased (FWW, 2010). Furthermore, in 2012, farmers is mechanized, allowing them to feasibly care
egg-producing hens produced more than 300 eggs per for more birds than ever before (FWW, 2010).
year per hen, compared to 150 eggs per year per hen in It is estimated that more than 30 billion broiler eggs
1947. While the main focus of the layer industry is egg are incubated annually. Without technology, the poultry
collection and processing, the physical layout of enclo- industry would be unable to supply the world demand
sures for laying hens is designed specifically for effi- for poultry products (Butcher & Nilipour, 2002).
cient, concentrated, mechanical feeding and egg Concentrated animal feeding operations (CAFOs)
collecting. represent an area of increased mechanization that has
An example of a large egg-producing operation is significantly increased the efficiency of feed processing
Hickman’s Family Farms in Arizona, which houses and delivery (Figure 32). In large feedlots, feed trucks
more than 4 million laying hens (Incredibleegg.org, deliver feed to cattle pens, which reduces labor expendi-
n.d.). This operation is highly mechanized—from egg tures. However, many of the mechanical improvements
production through egg sorting and packaging. involve handling production byproducts such as
manure, which raises questions regarding the returns
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 292
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 293
Figure 33. Agricultural robotics. Figure 34. Steam engine and plow.
Source: Vision Systems Design website Source: Farm Collector website
mechanical tomato harvester, which was developed 10. It is common for new mechanical technologies to be
with both private and public funds. coupled with new crop varieties (e.g., tomatoes, rice,
and sugarcane). For example, the commercialization
5. Due to data confidentiality, it is often difficult to of high-yielding sugarcane varieties was possible
estimate the rates of return to investment in agricul- because of the development and adoption of the
tural mechanization by the private sector. mechanical sugarcane harvester that was capable of
dealing with lodging associated with the new variet-
6. Even though many of the agricultural technologies ies. Therefore, the payoff to R&D in varietal devel-
are developed by US manufacturers, they are used opment may be understated if it does not also
worldwide, especially in high-income countries. include the benefits associated with mechanical har-
Examples include the adoption of the cotton har- vesting.
vester in Israel and Turkey.
11. One cannot over-emphasize the labor component of
7. A given mechanical harvester, with minimal adapta- mechanization (Huffman, 2014). Schmitz and Seck-
tions, can be used to harvest many different grains ler (1970)—when studying the impact of the
and oilseeds (e.g., the same harvester can be used to mechanical tomato harvester—focused on the con-
harvest both wheat and canola). Because of the huge cept of Pareto-optimality and the compensation prin-
acreage seeded to these crops, machinery manufac- ciple. They argued that the adoption of the
turers can capitalize on economies of scale in any mechanical harvester resulted in a situation where
given line of machinery production. This is in con- the compensation principle was met, but not the
trast to the specialized nature of citrus harvesting, Pareto principle, since compensation was not paid to
where economies of scale are limited due to the rela- displaced workers.
tively small acreage on which citrus is grown.
12. Agricultural mechanization has resulted in large,
8. In many cases, it is not profitable or feasible for concentrated feeding operations. With this type of
small farms to adopt large-scale agricultural technol- animal feeding comes the debate over the violation
ogies. In Russia and Ukraine, for example, small, of animal rights.
labor-intensive farms operate alongside large, highly
capital-intensive farms (Schmitz & Meyers, 2015). 13. Agricultural laborers, including workers in packing
houses, often receive low wages.
9. The advent of small machinery and equipment tech-
nologies—such as hydraulics—has had a profound Conclusions
effect on agriculture. For example, this has enabled Agricultural mechanical technologies have changed the
individual farmers to engage in several enterprises landscape of farming worldwide. While these technolo-
such as grains and livestock on a large-scale basis. gies have resulted in an increase in farm size, they are
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 294
also often labor displacing. New technologies such as (Schmitz, Moss, Schmitz, Furtan, & Schmitz, 2010).
agricultural robotics (Figure 33) will continue the trend This is because many of our models focus on only the
toward displacing or replacing farm labor (Boston Con- supply and demand for specific crops along with the
sulting Group [BCG], 2014). For example, engineers in needed labor but do not integrate a general accounting
California are testing the Lettuce Bot, a machine that of the link to rural communities.
can thin a field of lettuce in the time it takes about 20
workers to do the job by hand. References
Large-scale agricultural equipment has been around Allen, D.W., & Lueck, D. (1998). The nature of the farm. Journal
for many years, even prior to large-scale farming. For of Law and Economics, 41(2), 343-386.
example, in the early 1900s, steam engines were used to Allen, D.W., & Lueck, D. (2002). Farm organization and vertical
pull large furrow plows to make land suitable for culti- control (Chapter 9). In D.W. Allen & D. Lueck (Eds.), The
vation (Figure 34). Ironically, the continued improve- nature of the farm: Contracts, risk, and organization in agri-
ment of large-scale equipment, over time, has resulted in culture. Cambridge, MA: MIT Press.
unintended consequences. Barker, F.G. (2007). An economic evaluation of sugarcane com-
The impact of technologies, along with other factors, bine harvester costs and optimal harvest schedules for Louisi-
on the survival of the family farm (Figure 35) and rural ana (Master’s Thesis). Baton Rouge: Louisiana State
communities (Figure 36) has been devastating. In a University, Thesis No. etd-07122007-141201.
study for the Economic Council of Canada, Fulton, Baucum, L.E., Rice, R.W., & Schueneman, T.J. (2002, July). An
Rosaasen, and Schmitz (1989) concluded that, for overview of Florida sugarcane (Document SS-AGR-232).
example, in some parts of the Canadian Prairies, the Gainesville: University of Florida, Institute of Food and Agri-
cultural Sciences.
number of rural communities has dropped by a factor of
10 since the 1950s. This has, in part, been brought about The Boston Consulting Group (BCG). (2014, September 3). Rise
of the machines: BCG projects $67 billion market for robots
by mechanization, which has resulted in increased farm
by 2025 (Press Release). Boston, MA: Author.
size and the reduction in the need for labor.
Becker, G.S. (1965). A theory of the allocation of time. Economic
Journal, 75(299), 493-517.
“In the 1960s, farms became larger and the popu-
lation began to shrink as better highways beck- Buckmaster, E. (1993, April 29). Lament for a dying community.
oned people to the city to do more of their The Leader-Post.
business. As in so many small communities, the Bunge, T. (2014, October 3). Judge upholds California law requir-
closing of the school around 1970 marked the ing more-humane housing of hens. Wall Street Journal.
beginning of the end….The crumbling old Burrows, G., & Shlomowitz, R. (1992). The lag in mechanization
homes and overgrown sidewalks are reminders of the sugarcane harvest: Some comparative perspectives.
of the once-thriving community” (Buckmaster, Agricultural History, 66(3), 61-75.
1993, p. 1). Butcher, G.D., & Nilipour, A.H. (2002). Numbers for successful
poultry production (University of Florida, Institute of Food
Unfortunately, economists have not done a good job and Agricultural Sciences Publication #VM133/VM098).
Gainesville: University of Florida.
when dealing with the losers from technological change
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 295
Calvin, L., & Martin, P. (2010). The US produce industry and farmers, farm workers, and communities conference, Wash-
labor: Facing the future in a global economy (US Department ington, DC.
of Agriculture [USDA], Economic Research Service [ERS] Lianos, T.P. (1972). Impact of minimum wages upon the level and
Report No. ERR-106). Washington, DC: USDA ERS. composition of agricultural employment. American Journal of
deJanvry, A., LeVeen, P., & Runstein, D. (1980). Mechanization Agricultural Economics, 54(4), 477-484.
in California agriculture: The case of canning tomatoes. Mandel, R., Lawes, R., & Robertson, M. (2010). Farmer perspec-
Berkely, CA: University of California Press. tives of precision agriculture in Western Australia: Issues and
The Economist. (2012, December 1). March of the lettuce bot. The the way forward. Paper presented at the Australian agronomy
Economist, Q4. conference, Lincoln, New Zealand.
Fishelson, G., & Rymon, D. (1989). Adoption of agricultural inno- McClinton, B. (2006). Summerfallow. In The Encyclopedia of
vations: The case of drip irrigation of cotton in Israel. Techno- Saskatchewan. Regina, Saskatchewan: Canadian Plains
logical Forecasting and Social Change, 25(4), 375-382. Research Center. Available on the World Wide Web: http://
Food and Water Watch (FWW). (2010). Factory farm nation. esask.uregina.ca/entry/summerfallow.html.
Washington, DC: Author. McNulty, P.B., & Grace, P.M. (2009). Agricultural Mechanization
Fulton, M.E., Rosaasen, K.A., & Schmitz, A. (1989). Canadian and Automation. Report from Agricultural and Food Engi-
agricultural policy and prairie agriculture. Ottawa: Eco- neering Department, National University of Dublin, Ireland,
nomic Council of Canada. pp.13-17.
Gallasch, H.F., Jr. (1975). Minimum wages and the farm labor Moretti, E., & Perloff, J.M. (2002). Efficiency wages, deferred
market. Southern Economic Journal, 41(3), 480-491. payments, and direct incentives in agriculture. American
Journal of Agricultural Economics, 84(4), 1144-1155.
Gardner, B. (1972). Minimum wages and the farml labor market.
American Journal of Agricultural Economics, 54(3), 473-476. Nagy, C., & Gray, R. (2012). Rate of return to the research and
development expenditure of zero tillage technology develop-
Grimes, W.E., Kifer, R.S., & Hodges, J.A. (1928, July). The effect ment in Western Canada (1960-2010). Saskatoon, Canada:
of the combined harvester thresher on farm organization in University of Saskatchewan, Department of Bioresource Pol-
southwestern Kansas and northwestern Oklahoma. Kansas icy, Business and Economics.
Circular, 42, 6-10.
National Aeronautics and Space Administration (NASA). (2015,
Hedges, T.R. (1950). Mechanical cotton harvesting: Harvesting February 12). NASA study finds carbon emissions could dra-
costs, value of field waste and grade-loss contribute to eco- matically increase risk of US megadroughts (Press release 15-
nomics of machine picking cotton. California Agriculture, 020). Washington, DC: Author. Available on the World Wide
4(12), 2-10. Web: http://www.nasa.gov/press/2015/february/nasa-study-
Hedges, T.R., & Bailey, W.R. (1954, April). Economics of finds-carbon-emissions-could-dramatically-increase-risk-of-
mechanical cotton harvesting: A report of studies made in the us/.
San Joaquin Valley of California (pp. 1-8). Berkeley, CA: O’Dell, L. (2007). Agricultural mechanization. In Encyclopedia of
California Agricultural Experiment Station. Oklahoma History and Culture. Oklahoma City: Oklahoma
Hill, H. (1963, December). The tragedy of the Florida farm Historical Society. Available on the World Wide Web: http://
worker. Crisis, 70(10), 596-601. www.okhistory.org/publications/enc/entry.php?entry=AG005.
Holley, D. (2003). Mechanical cotton picker. In R. Whaples (Ed.), Olmstead, A.L., & Rhode, P.W. (2008). Creating Abundance: Bio-
EH.Net Encyclopedia. Tucson, AZ: Economic History Asso- logical Innovation and American Agricultural Development.
ciation. New York, NY: Cambridge University Press.
Huffman, W.E. (2014). Agricultural labor: Demand for labor. In Public Broadcasting Service (PBS). (2014, August 29). Dorothea
N.K. Van Alfen (Ed.), Encyclopedia of agriculture and food Lange: Grab a hunk of lightning (American Masters pro-
systems (pp. 105-122). San Diego, CA: Academic Press. gram). Arlington, VA: Author. Available on the World Wide
Web: http://www.pbs.org/wnet/americanmasters/episodes/
Hurt, R.D. (2002). American agriculture: A brief history (pp. 357-
dorothea-lange/watch-full-film-dorothea-lange-grab-a-hunk-
358). Lafayette, IN: Purdue University Press.
of-lightning/3260/.
Incredibleegg.org. (n.d.). Hickman’s family farms. Park Ridge, IL:
PBS. (2006, Week of December 15). Meatpacking in the US: Still
American Egg Board.
a “jungle” out there? (PBS NOW). Arlington, VA: Author.
Isern, T.D. (2004). Custom combining. In D.J. Wishart (Ed.),
Polopolus, L.C., & Emerson, R.D. (1991). Entrepreneurship,
Encyclopedia of the Great Plains (pp. 41-42). Lincoln, NE:
sanctions, and labor contracting. Journal of the Southern
University of Nebraska Press.
Agricultural Economics Association, 23(1), 57-68.
Iwai, N., & Emerson, R. (2008, May). Labor cost and sugarcane
Rasmussen, W.D. (1968). Advances in American agriculture: The
mechanization in Florida: NPV and real options approach.
mechanical tomato harvester as a case study. Technology and
Paper presented at Immigration reform: Implications for
Culture, 9(4), 531-543.
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement
AgBioForum, 18(3), 2015 | 296
Schmitz & Moss — Mechanized Agriculture: Machine Adoption, Farm Size, and Labor Displacement