Financial constraints and nonlinearity of farm size growth

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F60460709%3A41110%2F24%3A101262" target="_blank" >RIV/60460709:41110/24:101262 - isvavai.cz</a>

Výsledek na webu

<a href="https://www.emerald.com/insight/content/doi/10.1108/jamr-02-2023-0053/full/html" target="_blank" >https://www.emerald.com/insight/content/doi/10.1108/jamr-02-2023-0053/full/html</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1108/JAMR-02-2023-0053" target="_blank" >10.1108/JAMR-02-2023-0053</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Financial constraints and nonlinearity of farm size growth

Popis výsledku v původním jazyce

PurposeThis article aims to investigate the financial constraints and nonlinearity of farm size growth.Design/methodology/approachFarm size growth is measured with land, labor and output using data from the Farm Accountancy Data Network (FADN) for Hungary and Slovenia. A dynamic panel model is applied to assess financial constraints and nonlinearity of farm size growth.FindingsResults show that, except for land in Slovenia and output in Hungary, liquidity constraints are less important for farm size growth than endogenous factors based on farm size growth expectations and steady farm size restructuring. Smaller farms are growing faster than larger ones. The hypothesis that a higher level of subsidies would increase farm size is not supported for Hungary. When farms reach a certain size, the land area of the largest farms increases. Farm debts in Hungary are linked with land growth and in Slovenia with output growth.Research limitations/implicationsFurther research on the impact of liquidity constraints and subsidies can be conducted at a disaggregate farm-type level to examine whether there is variability in the underlying interlinkages at the farm-type specialization level.Practical implicationsThe implication that farm size growth is dependent on initial size and that smaller farms are growing faster than bigger ones indicates that it is not necessary to favor the fastest growing smaller farms thus supports the application of a non-discriminatory farm size policy for observing farm size structural changes.Originality/valueThe dynamic panel econometric model that incorporates cash flow as a measure of financial constraints provides insight into farm size growth in cross-country comparison in relation to potential farm liquidity constraints, farm debt and the nonlinearity of farm size, which information is of relevance to policy makers and practitioners.

Název v anglickém jazyce

Financial constraints and nonlinearity of farm size growth

Popis výsledku anglicky

PurposeThis article aims to investigate the financial constraints and nonlinearity of farm size growth.Design/methodology/approachFarm size growth is measured with land, labor and output using data from the Farm Accountancy Data Network (FADN) for Hungary and Slovenia. A dynamic panel model is applied to assess financial constraints and nonlinearity of farm size growth.FindingsResults show that, except for land in Slovenia and output in Hungary, liquidity constraints are less important for farm size growth than endogenous factors based on farm size growth expectations and steady farm size restructuring. Smaller farms are growing faster than larger ones. The hypothesis that a higher level of subsidies would increase farm size is not supported for Hungary. When farms reach a certain size, the land area of the largest farms increases. Farm debts in Hungary are linked with land growth and in Slovenia with output growth.Research limitations/implicationsFurther research on the impact of liquidity constraints and subsidies can be conducted at a disaggregate farm-type level to examine whether there is variability in the underlying interlinkages at the farm-type specialization level.Practical implicationsThe implication that farm size growth is dependent on initial size and that smaller farms are growing faster than bigger ones indicates that it is not necessary to favor the fastest growing smaller farms thus supports the application of a non-discriminatory farm size policy for observing farm size structural changes.Originality/valueThe dynamic panel econometric model that incorporates cash flow as a measure of financial constraints provides insight into farm size growth in cross-country comparison in relation to potential farm liquidity constraints, farm debt and the nonlinearity of farm size, which information is of relevance to policy makers and practitioners.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50202 - Applied Economics, Econometrics

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

JOURNAL OF ADVANCES IN MANAGEMENT RESEARCH

ISSN

0972-7981

e-ISSN

0972-7981

Svazek periodika

21

Číslo periodika v rámci svazku

1

Stát vydavatele periodika

GB - Spojené království Velké Británie a Severního Irska

Počet stran výsledku

20

Strana od-do

153-172

Kód UT WoS článku

000998619400001

EID výsledku v databázi Scopus

2-s2.0-85161381870