The Economic Sustainability of Farms under Common Agricultural Policy in the European Union Countries

Marta Guth , Katarzyna Smędzik-Ambroży , Bazyli Czyżewski , Sebastian Stępień

Abstract

The aim of this paper is to determine the influence of the Common Agricultural Policy’s (CAP) subsidies on the level of economic sustainability of farms by means of three-fold study. To determine the economic sustainability of farms the authors applied the income gap ratio. Next, the level of income differentiation between farms of various economic classes was established. The last part consisted of the recognition of statistically significant CAP schemes that shape agricultural income in farms of different size and in assessing how the respective subsidies should increase or decrease to fill the recognized gap, based on the coefficients of panel regression. The spatial scope covered all EU countries in 2005–2015. Results show that due to the CAP’s support the average income of farms has approached the average non-agricultural income, but distribution of this support favored the largest farms, increasing disparities within the sector.
Author Marta Guth (WE / KMiGŻ)
Marta Guth,,
- Department of Macroeconomics and Agricultural Economics
, Katarzyna Smędzik-Ambroży (WE / KMiGŻ)
Katarzyna Smędzik-Ambroży,,
- Department of Macroeconomics and Agricultural Economics
, Bazyli Czyżewski (WE / KMiGŻ)
Bazyli Czyżewski,,
- Department of Macroeconomics and Agricultural Economics
, Sebastian Stępień (WE / KMiGŻ)
Sebastian Stępień,,
- Department of Macroeconomics and Agricultural Economics
Journal seriesAgriculture (Switzerland), [Agriculture (Switzerland)], ISSN 2077-0472, e-ISSN 2077-0472, (N/A 100 pkt)
Issue year2020
Vol34
No10
Pages1-20
Publication size in sheets0.95
Keywords in Polishrównowaga ekonomiczna, rolnictwo zrównoważone, WPR, dysparytet dochodów, UE, Polska
Keywords in Englisheconomic sustainability; agriculture; policy; subsidies; CAP; EU; income gap, Poland
ASJC Classification1102 Agronomy and Crop Science; 1106 Food Science; 1110 Plant Science
DOIDOI:10.3390/agriculture10020034
URL https://www.mdpi.com/2077-0472/10/2/34/htm
Languageen angielski
Score (nominal)100
Score sourcejournalList
ScoreMinisterial score = 100.0, 13-03-2020, ArticleFromJournal
Publication indicators WoS Citations = 0; Scopus SNIP (Source Normalised Impact per Paper) [Not active]: 2018 = 1.272
Citation count*2 (2020-06-30)
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* presented citation count is obtained through Internet information analysis and it is close to the number calculated by the Publish or Perish system.
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