A comparison of operator and financial characteristics of U.S. beef cow-calf producers by race

Abstract

This study compares financial characteristics of U.S. beef cow-calf farms by race and highlights potential challenges faced by minority farms based on the historical context in which they operate. We find that, in 2018, factors related to farm size and inefficiencies in generating returns contributed to racial disparities in the profitability of beef cow-calf farms. Relative to White cow-calf farms, on average, African American and Native American farms had less acreage, value of production, and net farm income but a higher share at financial risk due to inefficiencies. More research is needed to understand racial differences in farm financial performance.