Dilemmas of Measuring and Evaluating Income in Agriculture in the European Union (original) (raw)

The Relationship of Agricultural and Non-Agricultural Income and Its Variability in Regard to Farms in the European Union Countries

Agriculture, 2021

Many authors emphasize that reducing the income deprivation of the agricultural sector in relation to the non-agricultural sectors is a prerequisite to the growth of sustainability of agriculture. Thus, this raises the question: despite the impact of the Common Agricultural Policy (CAP) on the value of agricultural income in EU countries, is there still income deprivation for agriculture in relation to non-agricultural sectors? If so, is its depth comparable among farms with a different scale of production from the same EU country or among farms with the same scale of production from different countries? The answers to these questions constitute the added value of the article. The aim of the paper is to compare the ratio of agricultural income to non-agricultural income in regard to family farms in EU countries. Results show that the CAP solutions do limit the agricultural income disparities but that there are significant differences in the income deprivation of farms with different...

Analysis of Agriculture in the European Union

2022

With its agricultural policy, the European Union wants to encourage member states to invest in agricultural production, production and promotion of quality agricultural products, care for the environment, development of rural areas, increase market transparency, and encourage innovation in agriculture. The main challenges for agricultural production in the European Union are global market competition, economic and political crises, climate change and rising costs of production factors. The European Union wants to provide support for the sustainable income of agricultural holdings and the stability of the agricultural sector, and it contributes greatly to the financing of agriculture in the member states. In this way, the aim is to ensure the long-term security of the food supply and the agricultural diversity of the member states. The paper states the objectives of the agricultural policy of the European Union, researches and analyzes data on the number of employees in agriculture, the age structure of farmers, the size of agricultural holdings, agricultural and livestock production, fishing and promotional activities of agricultural production in the European Union.

The Taxation of Agriculture in the European Union Countries

Zeszyty Naukowe SGGW w Warszawie - Problemy Rolnictwa Światowego, 2018

The paper sets out the key principles for taxation of agriculture in selected European Union countries. The theoretical foundations of tax systems in the context of their functions and features specified as desirable in the literature are discussed. EU agricultural taxation systems are presented in reference to optimisation and tax competitiveness. Some shared features of these agricultural taxation systems were pointed out and their division in two basic models (the British model and the continental model), which was presented taking as example the countries in which these models operate. Taxation of income derived from agricultural business activity is a natural direction of changes in tax systems. The tax policy implemented in the European Union countries in relation to agriculture make use of the principle of tax justice to the highest possible extent. The diversity of the tax rules and structures applied in the EU makes it possible to tax agricultural income without limiting th...

Determinants of Farm Income in the European Union in New and Old Member States. A Regional Study

Annals of the Polish Association of Agricultural and Agribusiness Economists, 2019

The aim of the article was to identify the determinants of income of representative farms at the level of European Union regions. For this purpose, FADN data was used for the years 2004-2017. Due to varied conditions of agricultural development, EU regions were divided into groups according to seniority of members. Income was examined using basic panel regression and quantile panel regression models using the extended Cobb-Douglas formula. Apart from the basic input of production factors (labour, capital and land), the impact of subsidies as well as production and financial management strategies in the farms were also investigated. It was found that farm income in so-called new member states were more sensitive to growing specialization, direct payments and capital expenditure, while, in the so-called old EU, there was a relatively high elasticity of income in relation to the labour factor. On the other hand, income was negatively affected by an increase in the level of financial le...

Farm Household Incomes: Perceptions and Statistics

Journal of Rural Studies, 1999

The author has been an External Expert to Eurostat in developing its Income of the Agricultural Households Sector (IAHS) statistics, drawn on for this article. However, the use of data and interpretation expressed here are entirely the responsibility of the author.

Farm Payments in the EU – their Distribution and Justification

2009

The introduction of decoupled direct payments in the EU was a substantial change of the Common Agricultural Policy (CAP) in 2003. After decoupling direct payments from production, it has become evident that distributional objectives are the major justification of farm payments. There are three facets: the distribution of payments among farmers within member states, the distribution of payments among member states, and the distribution of household incomes within member states. All of them will be affected if the volume and allocation of funds for the CAP will be changed in the new financial framework of the EU. The paper addresses the first distributional aspects. We provide an overview of the development of past and present research and findings on the distributional aspects of direct payments. We use the theory of federal fiscal relations to identify the policy agendas that should be handled at the EU level, at national levels, and at sub-national levels. We analyse how measures o...