Crop share rent (in contrast to
economic rent
In economics, economic rent is any payment (in the context of a market transaction) to the owner of a factor of production in excess of the cost needed to bring that factor into production. In classical economics, economic rent is any payment m ...
) is a proportion of the crop harvest (yield) to be paid by the tenant farmer to the land owner as compensation for occupying and exploiting the rented land.
This arrangement puts the landlord, like the tenant operator, at risk from variation in yields and prices. For the farm operator, crop share rent is a mechanism for sharing risks with the landlord. In relation to commodity programs for supporting prices and farm incomes, cash rent landlords do not have a beneficial interest in the commodity and are not eligible payments.
This is a private version of
Community-supported agriculture
Community-supported agriculture (CSA model) or cropsharing is a system that connects producers and consumers within the food system closer by allowing the consumer to subscribe to the harvest of a certain farm or group of farms. It is an alterna ...
but subtly different from
sharecropping
Sharecropping is a legal arrangement with regard to agricultural land in which a landowner allows a tenant to use the land in return for a share of the crops produced on that land.
Sharecropping has a long history and there are a wide range ...
as practiced in Southern states of America, which was somewhat similar to
serfdom
Serfdom was the status of many peasants under feudalism, specifically relating to manorialism, and similar systems. It was a condition of debt bondage and indentured servitude with similarities to and differences from slavery, which deve ...
or
indenture, since the tenant was bound to one particular master and could not offer his services to the most generous landowner
References
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{{DEFAULTSORT:Crop Share Rent
United States Department of Agriculture