Agriculture Employment Values

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    IMPLAN Forum
    HI! Thank you for your post. With the release of the 2013 data, there was a new census of Agriculture data that came out. Please see below for the 2013 Release notes that would affect the agriculture sectors: 2013 Release 1 release notes: New Census of Agriculture: The Census of Agriculture is released every 5 years; thus, there may be some sizeable changes in some farm sectors in some regions. The 2012 Census of Agriculture was released in 2014 and is incorporated into the 2013 IMPLAN data set. Census of Agriculture data are used to disclose data missing from USDA Economic Research Service (ERS) and National Agricultural Statistics Service (NASS) data sources. NASS Data for Agriculture Output: We use NASS sales and production data as a supplement to ERS sales data, where available, since the ERS sales data may omit inventory changes, home consumption, and production used in the production process of another agricultural good (e.g. hay used to feed animals). Large differences between the datasets tend to occur with products that are likely to be added or removed from inventory (grains) or consumed on a farm (hay, meat). New BEA Benchmark: The BEA's Benchmark I-O tables are also released every 5 years. These tables set the course for IMPLAN's sectoring scheme, production functions, by-product coefficients, and market share coefficients. The 2007 Benchmark was released in 2014 and incorporated into the 2013 IMPLAN data set. This will cause changes across many sectors and regions. Foreign Trade of NAICS 115 (Support Activities for Agriculture and Forestry): As of the 2013 data year, the Department of Commerce recoded all commodities previously assigned to NAICS Code 115 to other NAICS codes. This simply means that this commodity is now being correctly classified as a service. As such, we obtain the export/import values from the BEA Benchmark. The second release of 2013 data reflects the most recent (2012) 5-year Census of Governments, which improves estimates of government spending and revenue. The Census of Governments had not been published early enough to integrate into the first release of 2013 data, which took place in December 2014. 2013 Release 2 release notes: The second release of 2013 also corrects an error in the estimation of state- and county-level OPI. This issue affected only some sectors in some places, and resulted in over- or under-stating OPI, and, consequently, Output and Value-Added. Because this issue did not affect Labor Income or Intermediate Expenditures, it did not affect impact analysis results except in the case of contribution analyses where Total Industry Output is used as the Event value. The 2nd release was made available the beginning of April. If you do not have the 2nd release, I would be happy to help you obtain the latest data! Thanks
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    Ashley
    Thank you for your reply. We have examined the NASS, ERS and Census of Ag data and still can't determine why the drop in employment would occur. I previously posed a question regarding poultry employment and the following was included in the response: "[i]For employment, we use a combination of farm counts by commodity from the latest Census of Agriculture (as an indication of proprietors) and employment-to-output relationships from the BEA Benchmark I-O (which have the commodity detail) to get a first estimate of employment by commodity. These are controlled to U.S. REA “Farm Total” numbers for the current data year. The resulting U.S. relationships to output are then applied to state output values to derive state employment numbers, which are then controlled to each state’s REA “Farm Total”. Notice that this method involves both the Census of Agriculture and the BEA Benchmark, both of which were new this year."[/i] We checked the commodity farm counts from the census of ag and while they did decrease some, it doesn't seem to account for the massive decrease shown for employment in sectors 1 & 2. We attempted to compare values from the 2002 and 2007 the BEA Benchmark I-O tables to see if the change came from there. We accessed the tables but weren't able to find data relevant for determining employment by commodity. Could you please expand on how the I-O tables are used to determine this employment by commodity value? And yes, please advise on how to obtain the most recent data. Thanks!
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    IMPLAN Forum
    Hello, Thank you for your follow up questions! We should have also mentioned in our release notes a shift in methodology we adopted in the 2013 data year: We now distribute all employment and income across the 14 farm sectors by W&S Establishment counts (from the BLS’ CEW series) instead of by Ag Census farm count. We chose this new methodology because it yielded much more consistent EC/worker values across the 14 farm sectors (for the U.S., ranging from 20.5K to 89K as opposed to ranging from 3K to 276K with the farm count method). We should also clarify that the BEA Benchmark does not report employment numbers, so to get “benchmark” employment ratios we used the 2007 BEA Benchmark data (output and income) combined with the BEA’s 2007 REA employment data. We do not use Ag Census employment figures, as we are less clear as to their definitions. For example, the Ag Census has “Hired farm labor” and “Unpaid workers”. If we sum those two things and compare to our employment estimates, our estimates generally tend to be under the Census values for crop sectors and over the Census values for animal sectors. The agriculture sectors are particularly difficult to estimate because there are no employment and earnings data collected on a commodity basis, even at the national level. The BEAs’ Regional Economic Accounts (REA) program estimates county-level employment and income data, but these are farm totals that are not broken down by type of agricultural commodity. While CEW publishes some data by agricultural commodity, we do not use them as they only cover about 90% of the REA value for wage and salary farm employment. As a result, IMPLAN developed the procedures described previously to estimate employment and income by commodity and county. These estimates of employment and income are then used to distribute the total farm employment value given by the REA data. As always, we encourage you to replace IMPLAN figures with any local data you might have. You can purchase the 2013 data on our [url=http://implan.com/index.php?option=com_virtuemart&view=category&virtuemart_category_id=2500&Itemid=1808]website[/url] or you can give us a call to place the order: 651-439-4421. Thank you!
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