Assessing the Impact of State-Level Policy Incentives for Agritourism

Determining with precision the economic impact of agritourism on rural development has proven elusive. Despite the uncertainty, state legislatures have implemented support programs designed to encourage agritourism expansion. Previous research identified thirty-six states with liability immunity laws and two states with liability insurance tax credits for agritourism operations. Using a difference-in-differences approach, this research analyzes USDA Census of Agriculture data, surveys of agritourism operations, and income tax records in five Midwestern states to better understand the impact of liability waivers and tax credits on agritourism operations.