What is it about?
Hungarian family farms have decreased as average farm size has increased during the past two decades. We examine human capital, leadership skills, farm and spatial farm regional location characteristics, and government subsidies for Hungarian family farms to determine farm size growth drivers. Results show that leadership abilities do not affect Hungarian family farm growth. Unlike skills, farm size, kind, and governmental subsidies drive family farm growth. Bigger family farms expanded slower. The data imply that family farm restructuring varies on size, features, and government policy.
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Why is it important?
This article helps identify the causes of family farm size growth and the extent to which the expansion of family farms is driven by human capital and managerial abilities.
Perspectives
Future studies could include farm size expansion and financial factors including liquidity restrictions and financing. CAP adjustments for young farmers and rural development may also affect farm size. Climate change and agricultural automation may continue to increase farm size. Investment in changed production technology will likely generate farm restructuring that varies by farm type and area.
Professor Imre Ferto
Centre for Economic and Regional Studies, Hungarian Academy of Sciences: Budapest
Read the Original
This page is a summary of: What drives family farm size growth in Hungary?, Heliyon, November 2022, Elsevier,
DOI: 10.1016/j.heliyon.2022.e11890.
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