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Old 19-05-2003, 02:09 AM
Michael Saunby
 
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Default UK farm profitability to jun 2002


"Torsten Brinch" wrote in message
news
On Wed, 8 Jan 2003 15:24:08 -0000, "Michael Saunby"
wrote:


"Torsten Brinch" wrote in message
.. .
On Wed, 8 Jan 2003 15:06:57 -0000, "Michael Saunby"
wrote:


"Torsten Brinch" wrote in message
.. .
On 8 Jan 2003 01:41:17 -0800, (Gordon Couger)
wrote:

You can't compare running a business to working for wages.

I think you mean, they -can- be compared, but will then be found to
be different on a number of aspects. But both activities are to

make
income to cover the living expenses and investments of people, and

you
can very well compare the income generated by running a business to
the income generated by working for a wage.

The UK farm economy statisticians do calculate several measures of
farm income, e.g. Net Farm Income and Cash Income. The

statisticians
say: for comparisons with the income of employees in other sectors

of
society, do not use the Net Farm Income figures, use the Cash

Income
figures.

Avg. annual Cash Income per farm in UK was about £55000 in 1995,
decreased to about £30000 during the most recent years up to 2002.

For comparison, the avg income earner in UK has had a total income
of between £20000 and £15000 per year during the same period.


.. household incomes.

For comparison, the avg household in UK has had an income of between
£19000 and £23000 per year during the same period.


Sure, when you include households with NO income earner and single

parent
households. I suppose you could allow for this if the average cash

income
per farm includes all small holdings and other farms that generated

little
or no income.


There is no good reason to include non-commercial farms, their Cash
income has obviously little or nothing to do with the household
income.

The average household income where one or more adults is working is

going
to be roughly £35,000. In household more like family farms where two
adults are working it will be rather more than that.


If household income comparison is what you are interested in,


Honest comparison is, I believe, what folks would like to see,

the
average farm household will have additional and non-farm sources of
income, typically brought in by the spouse having a job outside the
farm. The data I've seen indicates that it would be on avg. about
£5000 that is brought in this way.


Perhaps, when other employment is available, and only when farm incomes are
low!! What would be the point of doing another job that only brings in a
few thousand if farm incomes are more than adequate - which appears to be
what you are trying to suggest - you're wrong, I'm sure, but you do seem
to try to suggest that.

Michael Saunby