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Abstract

The United States dairy industry is heavily dependent on foreign labor. Current and newly proposed U.S. immigration policies have been appointed to disrupt the agricultural labor availability, especially that of hired foreign labor. A national survey of dairy farmers across herd sizes and regions of the U.S. was conducted for the year 2009 and the results were used to evaluate the extent to which hired foreign labor dependence will affect the exit intentions in dairy farming. The political affiliation of dairy farmers was based on the 2008 election map and their locations. Our findings indicate that the expected probability of exit from dairy farming increased as the use of hired foreign labor intensified. Results also suggest that states with Republican political affiliation has a greater probability of exiting dairy operations with more stricter immigration laws.

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