ofarm.wp6 EDUCATION AND OFF-FARM WORK Dennis Tao Yang August 1995 ABSTRACT: A household time allocation model is developed to explain the empirical regularity that the better educated farm members are usually the first to participate in nonfarm employment. Central to the model is the comparative advantage principle and a knowledge spillover hypothesis that workers who participate in off-farm work may still contribute knowledge to farm management. Using Chinese farm data, it is found that (a) schooling does not contribute to physical efficiency in farming, (b) the highest household schooling contributes the most to allocative efficiency and yet the contribution is not affected by off-farm participation, and (c) education raises off-farm wages. The model's implications from these results are consistent with the observed patterns of time allocation. ( JEL O15, J43) Copyright 1995 Paper 2 EDUCATION IN PRODUCTION: MEASURING LABOR QUALITY AND MANAGEMENT Dennis Tao Yang* January 1995 Revised: October 1995 ABSTRACT: Production function studies have used the education of the head of the household or the average education of farm workers to assess the contribution of schooling to farm efficiency. This paper critically examines the information content of these measures by developing a team production model which suggests separate education measures to approximate labor quality and managerial skills. Empirical analyses based on Chinese farm household data show that the new measures are statistically superior to the existing alternatives. There is evidence of centralized decision making on the farms where the highest schooling contributes the most to production efficiency. (JEL O15, J43) Paper 3 Food Availability, Entitlements and the Chinese Famine of 1959-1961 Justin Yifu Lin Peking University, Hong Kong University of Science and Technology, and Australian National University and Dennis T. Yang Duke University July 1995 Abstract The food availability decline and Sen's entitlement are two leading hypotheses for the causation of famine. Previous research based on case studies has given independent support to each of the accounts. This paper analyses the Chinese famine of 1959-61 by jointly considering entitlement arrangement and declines in food availability as complementary causes. We found that in the Chinese famine of 1959-61 both the food availability decline and entitlement arrangement contributed significantly to the increase of death rates in the famine. However, the differences in the entitlement arrangement were more important than the differences in food availability for explaining the observed differences in death rates across provinces. (JEL I3, O5) Copyright 1995