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Subsidies to Less Favoured Areas in the Czech Republic: Why Do They Matter?

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  • Jana Poláková

Abstract

Subsidy to less favoured area (LFA) farms is central to rural development policy in the European Union. Here, three categories of LFA support are assessed: farm competitiveness measures, LFA measures, and agri-environment measures. These categories of measures are complementary to safeguarding land management and delivering ecosystem benefits. Based on historical data for the Czech Republic, this paper endeavours to illustrate potential methods for assessing the LFA subsidies. In sum, rigorous methods to evaluate LFA evidence are still at their very starting point, even as they are necessary in order to ascertain the Community's capability, alongside the local, regional, or national institutional capability. A positive trend has been identified with regard to stabilizing the available rural development budget for the policy priority "Restoring, preserving and enhancing agroecosystems".

Suggested Citation

  • Jana Poláková, 2019. "Subsidies to Less Favoured Areas in the Czech Republic: Why Do They Matter?," Prague Economic Papers, Prague University of Economics and Business, vol. 2019(4), pages 416-432.
    • Handle: RePEc:prg:jnlpep:v:2019:y:2019:i:4:id:701:p:416-432
    DOI: 10.18267/j.pep.701
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    1. Livia Madureira & Jose Lima Santos & Ana Ferreira & Helena Guimarães, 2013. "Feasibility Study on the Valuation of Public Goods and Externalities in EU Agriculture," JRC Research Reports JRC83468, Joint Research Centre.
    2. Andrius Kazukauskas & Carol Newman & Johannes Sauer, 2014. "The impact of decoupled subsidies on productivity in agriculture: a cross-country analysis using microdata," Agricultural Economics, International Association of Agricultural Economists, vol. 45(3), pages 327-336, May.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    LFA support; rural development funding; land-based measures;
    All these keywords.

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • N50 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - General, International, or Comparative
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • R1 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics

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