Are the Agricultural Subsidies Based on the Farm Size Justified? Empirical Evidence from the Czech Republic

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F62156489%3A43310%2F22%3A43922045" target="_blank" >RIV/62156489:43310/22:43922045 - isvavai.cz</a>

Výsledek na webu

<a href="https://doi.org/10.3390/agriculture12101574" target="_blank" >https://doi.org/10.3390/agriculture12101574</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.3390/agriculture12101574" target="_blank" >10.3390/agriculture12101574</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Are the Agricultural Subsidies Based on the Farm Size Justified? Empirical Evidence from the Czech Republic

Popis výsledku v původním jazyce

The paper aims to explore the relationship between size, production orientation, and performance in the Czech agriculture and to answer the research question as to what extent a farm size and a product orientation of farm do matter in relation to its productivity and profitability. We use data from FADN CZ database (Farm Accountancy Data Network-Czech Republic) of conventional farms oriented on fieldcrops production, milk production, other grazing livestock and mixed production, and we cover the period from 2015-2020. Pursuing an econometric approach (ANOVA and multivariate regression analysis), we test productivity and profitability differentiation among the different-sized and different production orientation companies. Finally, subsidies and their effects on different groups of companies are assessed. The findings from testing our empirical model indicate that very large farms have statistically significantly higher total factor productivity than large farms, which perform better than medium and small farms. Average productivity of large-size farms compared to small and medium farms is 1.4 times higher in terms of total factor productivity, more than two times higher in terms of agricultural land productivity, and 3.2 times higher in terms of labour productivity. The findings show that farms with field production statistically significantly outperform farms with orientation on other grazing livestock and mixed production. Different levels of productivity are translated into differentiation in the profitability. The highest profitability ratios are achieved by large farms followed by very large, medium, and small ones. The assessment of ratio of subsidies to agricultural production shows that small farms received 2.3 times higher agricultural subsidies per unit of agricultural production compared to very large farms.

Název v anglickém jazyce

Are the Agricultural Subsidies Based on the Farm Size Justified? Empirical Evidence from the Czech Republic

Popis výsledku anglicky

The paper aims to explore the relationship between size, production orientation, and performance in the Czech agriculture and to answer the research question as to what extent a farm size and a product orientation of farm do matter in relation to its productivity and profitability. We use data from FADN CZ database (Farm Accountancy Data Network-Czech Republic) of conventional farms oriented on fieldcrops production, milk production, other grazing livestock and mixed production, and we cover the period from 2015-2020. Pursuing an econometric approach (ANOVA and multivariate regression analysis), we test productivity and profitability differentiation among the different-sized and different production orientation companies. Finally, subsidies and their effects on different groups of companies are assessed. The findings from testing our empirical model indicate that very large farms have statistically significantly higher total factor productivity than large farms, which perform better than medium and small farms. Average productivity of large-size farms compared to small and medium farms is 1.4 times higher in terms of total factor productivity, more than two times higher in terms of agricultural land productivity, and 3.2 times higher in terms of labour productivity. The findings show that farms with field production statistically significantly outperform farms with orientation on other grazing livestock and mixed production. Different levels of productivity are translated into differentiation in the profitability. The highest profitability ratios are achieved by large farms followed by very large, medium, and small ones. The assessment of ratio of subsidies to agricultural production shows that small farms received 2.3 times higher agricultural subsidies per unit of agricultural production compared to very large farms.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50202 - Applied Economics, Econometrics

Projekt

—

Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2022

Kód důvěrnosti údajů

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

Název periodika

Agriculture

ISSN

2077-0472

e-ISSN

2077-0472

Svazek periodika

12

Číslo periodika v rámci svazku

10

Stát vydavatele periodika

CH - Švýcarská konfederace

Počet stran výsledku

18

Strana od-do

1574

Kód UT WoS článku

000872025300001

EID výsledku v databázi Scopus

2-s2.0-85141864085