Operating Subsidies and the Economic Situation of Agricultural Farms in Poland in 2014-2019

Sebastian Janek

Faculty of Economic Sciences, University of Warmia and Mazury in Olsztyn
https://orcid.org/0000-0001-8383-6230

Joanna Czyż

Student of the Faculty of Economic Sciences University of Warmia and Mazury in Olsztyn

Mirosława Witkowska-Dąbrowska

Faculty of Economic Sciences, University of Warmia and Mazury in Olsztyn
https://orcid.org/0000-0003-1162-7362


Abstract

The purpose of this study has been to determine the role of operating subsidies in shaping the economic situation of agricultural farms in the years 2014-2019. Secondary data originating from the database of accounting books of farms aggregated by the Polish FADN were taken for our analysis. The data were processed through an analysis of the dynamics of changes in 2014-2019. The results showed that operating subsidies reached an average of between 41% and 282% of the value of income earned by family-owned farms. It was found that whether or not farms were able to earn a financial surplus without resorting to subsidies depended on the economic size of a farm. The smallest and the largest farms were unable to cover their costs and earn a profit without having access to additional sources of funds.


Keywords:

incomes, subsidies, economic size of agricultural farms

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Published
2021-11-30

Cited by

Janek, S., Czyż , J. ., & Witkowska-Dąbrowska, M. (2021). Operating Subsidies and the Economic Situation of Agricultural Farms in Poland in 2014-2019. Olsztyn Economic Journal, 16(1), 45–55. https://doi.org/10.31648/oej.7310

Sebastian Janek 
Faculty of Economic Sciences, University of Warmia and Mazury in Olsztyn
https://orcid.org/0000-0001-8383-6230
Joanna Czyż  
Student of the Faculty of Economic Sciences University of Warmia and Mazury in Olsztyn
Mirosława Witkowska-Dąbrowska 
Faculty of Economic Sciences, University of Warmia and Mazury in Olsztyn
https://orcid.org/0000-0003-1162-7362



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