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Impediments to the Diversification of Rural Economies in Central and Eastern Europe: Evidence from Small-scale Farms in Poland

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  • Hannah Chaplin
  • Matthew Gorton
  • Sophia Davidova

Abstract

Chaplin H., Gorton M. and Davidova S. (2007) Impediments to the diversification of rural economies in Central and Eastern Europe: evidence from small-scale farms in Poland, Regional Studies 41, -. Most rural economies in Central and Eastern Europe suffer from a poorly developed Rural Non-Farm Economy (RNFE) and a lack of alternative economic activities outside of farming. While the diversification of rural economies in Central and Eastern Europe away from an over reliance on agriculture has become an important policy goal, little research has been conducted on the impediments to diversification. This paper focuses on the barriers faced by Polish farm households to taking up off-farm employment and establishing new, non-agricultural enterprises. Factor and cluster analysis are applied to a data set of individual farms in order to identify groups of households facing similar constraints and profile policy measures that are most likely to assist diversification. Diversification is unlikely to expand significantly in the short-term due to a combination of the age of households, a desire to concentrate on farming and remoteness. Those farm households most willing to diversify are characterized by the lowest agricultural incomes and suffer from a poor endowment of human and physical capital. Chaplin H., Gorton M. et Davidova S. (2007) Les obstacles a la diversification des economies rurales dans l'Europe centrale et orientale: etude de cas des petites exploitations agricoles polonaises, Regional Studies 41, -. La plupart des economies rurales situees dans l'Europe centrale et orientale souffrent d'une economie non-agricole rurale peu developpee et d'un manque d'autres activites economiques en dehors du secteur agricole. Tandis que la diversification des economies rurales de l'Europe centrale et orientale afin de reduire leur dependance de l'agriculture est devenue l'un des principaux objectifs de la politique, rares sont les recherches faites sur les obstacles a cette diversification. Cet article porte sur les obstacles qui affrontent les menages agricoles polonais a la recherche de l'emploi non-agricole et a l'etablissement de nouvelles entreprises non-agricoles. On applique des analyses factorielle et typologique a un ensemble de donnees aupres des exploitations agricoles individuelles pour identifier des regroupements de menages qui affrontent des obstacles similaires et de presenter des actions susceptibles d'encourager la diversification. Il est peu probable que la diversification se developpe sensiblement a court terme a cause de la structure par age des menages, de la volonte de se concentrer sur l'agriculture, et de l'isolement. Les menages agricoles les plus disposes a se diversifier se caracterisent par les revenus agricoles les plus modestes et souffrent d'une faible dotation en capital humain et physique. Pologne Diversification Emploi non-agricole Entreprises non-agricoles Analyse typologique Chaplin H., Gorton M. und Davidova S. (2007) Hindernisse fur eine Diversifizierung der landlichen Wirtschaft in Mittel- und Osteuropa: Belege aus bauerlichen Kleinbetrieben in Polen, Regional Studies 41, -. Die meisten landlichen Wirtschaftsraume von Mittel- und Osteuropa leiden unter einer schwach entwickelten nicht landwirtschaftlichen Okonomie und einem Mangel an alternativen Wirtschaftsaktivitaten ausserhalb der Landwirtschaft. Die Diversifizierung der landlichen Wirtschaft in Mittel- und Osteuropa zum Abbau der ubermassigen Abhangigkeit von der Landwirtschaft ist zwar zum wichtigen politischen Ziel geworden, doch die Hindernisse fur eine solche Diversifizierung wurden bisher nur wenig untersucht. In diesem Beitrag wird verdeutlicht, welche Hindernisse bauerliche Haushalte in Polen davon abhalten, Arbeit ausserhalb der Landwirtschaft zu suchen und neue, nicht landwirtschaftliche Betriebe zu grunden. Ein Datensatz einzelner Bauernhofe wird einer Faktoren- und Clusteranalyse unterzogen, um Gruppen von Haushalten mit ahnlichen Beschrankungen zu identifizieren und um politische Massnahmen aufzuzeigen, die eine Diversifizierung am besten unterstutzen konnen. Kurzfristig ist mit keiner signifikanten Ausbreitung der Diversifizierung zu rechnen, was auf das Alter der Haushalte, den Wunsch, sich auf die Landwirtschaft zu konzentrieren, und die abgelegene Lage zuruckzufuhren ist. Die bauerlichen Haushalte, die am ehesten zu einer Diversifizierung bereit sind, zeichnen sich durch das geringste Einkommen aus der Landwirtschaft aus und leiden unter einem Mangel an menschlichem und physischem Kapital. Polen Diversifizierung Beschaftigung ausserhalb der Landwirtschaft Nicht landwirtschaftliche Betriebe Cluster-Analyse Chaplin H., Gorton M. y Davidova S. (2007) Obstaculos a la diversificacion de economias rurales en Europa central y oriental: el caso de las granjas polacas a pequena escala, Regional Studies 41, -. La mayoria de las economias en Europa central y oriental (ECO) adolecen de una falta de desarrollo de la economia rural no agropecuaria y carecen de actividades economicas alternativas fuera del sector agricola. Aunque la diversificacion de las economias rurales en los paises de ECO y la reduccion de una excesiva dependencia del sector agricola se han convertido en un objetivo politico importante, poco se ha estudiado sobre los factores que impiden esta diversificacion. En este articulo nos ocupamos de los obstaculos a los que se enfrentan los agricultores polacos para encontrar empleo fuera del sector agricola y crear nuevas empresas que no esten relacionadas con la agricultura. Empleamos analisis de factores y aglomeracion a un conjunto de datos sobre granjas individuales para identificar que grupos de familias presentan limitaciones similares y para describir las medidas politicas que con mas probabilidad ayudarian en la diversificacion. Es poco probable que la diversificacion se amplie considerablemente a corto plazo debido a una combinacion de factores como son la edad de las familias, el deseo de concentrarse en los trabajos agricolas y la distancia. Las familias que estan mas dispuestas a diversificarse se caracterizan por tener los ingresos agricolas mas bajos y sufrir una mala dotacion de capital humano y fisico. Polonia Diversificacion Empleo fuera del sector agricola Empresas no agricolas Analisis de agrupaciones

Suggested Citation

  • Hannah Chaplin & Matthew Gorton & Sophia Davidova, 2007. "Impediments to the Diversification of Rural Economies in Central and Eastern Europe: Evidence from Small-scale Farms in Poland," Regional Studies, Taylor & Francis Journals, vol. 41(3), pages 361-376.
  • Handle: RePEc:taf:regstd:v:41:y:2007:i:3:p:361-376
    DOI: 10.1080/00343400701282129
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    References listed on IDEAS

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    1. Adrian Smith, 1998. "Reconstructing the Regional Economy," Books, Edward Elgar Publishing, number 1322.
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    Cited by:

    1. Jan Fałkowski & Maciej Jakubowski & Paweł Strawiński, 2014. "Returns from income strategies in rural Poland," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 22(1), pages 139-178, January.
    2. repec:zbw:iamodp:109518 is not listed on IDEAS
    3. Fritzsch, Jana & Mollers, Judith & Buchenrieder, Gertrud, 2011. "Employment diversification of farm households and structural change in the rural economy of the New Member States," IAMO Discussion Papers 109518, Institute of Agricultural Development in Transition Economies (IAMO).
    4. Fritzsch, Jana & Wegener, Stefan & Buchenrieder, Gertrud & Curtiss, Jarmila & Gomez y Paloma, Sergio, 2009. "Semi-subsistence Farm Households in Central and South-eastern Europe: Current State and Future Perspectives," 2009 Conference, August 16-22, 2009, Beijing, China 51444, International Association of Agricultural Economists.
    5. Bianca Mitrică & Paul Şerban & Irena Mocanu & Ines Grigorescu & Nicoleta Damian & Monica Dumitraşcu, 2020. "Social Development and Regional Disparities in the Rural Areas of Romania: Focus on the Social Disadvantaged Areas," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 152(1), pages 67-89, November.
    6. Kathrin Happe & Hauke Schnicke & Christoph Sahrbacher & Konrad Kellermann, 2009. "Will They Stay or Will They Go? Simulating the Dynamics of Single‐Holder Farms in a Dualistic Farm Structure in Slovakia," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(4), pages 497-511, December.
    7. Dries, Liesbeth & Swinnen, Johan F.M., 2010. "The impact of interfirm relationships on investment: Evidence from the Polish dairy sector," Food Policy, Elsevier, vol. 35(2), pages 121-129, April.
    8. Fritzsch, Jana, 2011. "A Composite Fuzzy Indicator for Assessing Farm Household Potential for Non-farm Income Diversification," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114349, European Association of Agricultural Economists.
    9. Unay-Gailhard, İlkay & Bojnec, Štefan, 2021. "Gender and the environmental concerns of young farmers: Do young women farmers make a difference on family farms?," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 88, pages 71-82.
    10. Roberts, Deborah & Majewski, Edward & Sulewski, Piotr, 2011. "Measuring the local economic integration of farm households: Findings from two case study areas," 122nd Seminar, February 17-18, 2011, Ancona, Italy 99595, European Association of Agricultural Economists.
    11. repec:ers:journl:v:xxiv:y:2021:i:2:p:464-494 is not listed on IDEAS
    12. Fritzsch, Jana & Wegener, Stefan & Buchenrieder, Gertrud & Curtiss, Jarmila & Paloma, Sergio Gomez y, 2011. "Is there a future for semi-subsistence farm households in Central and southeastern Europe? A multiobjective linear programming approach," Journal of Policy Modeling, Elsevier, vol. 33(1), pages 70-91, January.
    13. Kouřilová Jana & Pělucha Martin, 2017. "Economic and Social Impacts of Promoting Cultural Heritage Protection by the Czech Rural Development Programme 2007–2013," European Countryside, Sciendo, vol. 9(3), pages 486-503, September.
    14. Unay-Gailhard, Ilkay & Bojnec, Štefan, 2021. "Young Farmers' Attitudes Towards Agri-Environmental-Climate Measures: Do Young Women Farmers Make a Difference?," 2021 Conference, August 17-31, 2021, Virtual 315374, International Association of Agricultural Economists.

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