Abstract
The objectives set by agricultural producers directly translate into the directions of the development of farms. What is particularly important: Is there a conflict between the economic and environmental objectives of farm operations? This issue is not resolved in the literature on the subject and still is a challenge for policymakers. The main aim of the article is to identify the preferences of farm managers concerning the objectives of farm operations, as well as to examine their mutual relations. The article employs the results of surveys carried out on farms from the Wielkopolska region (Poland). The analysis of Spearman’s rank, cluster analysis, also the classification tree method, and multidimensional scaling were applied. The research shows that the relations between the income and assets objective turned out to be moderate in terms of strength, while the environmental objective turned out to be statistically insignificant related to economic objectives (in the context of their perception by respondents). There are differences in this respect, including also a group of the respondents in which income and environmental objectives have been ranked simultaneously high. It is, however, difficult to state clearly whether there is a complementarity between the income and the environmental objective from the perspective of perception by respondents. Although when the context of the real action is taken into account then the answer should be positive. Therefore, there is a gap between the farmers’ perception of reality—choice of the hierarchy of objectives, and the real activities, e.g., in terms of pro-environmental activities. It is a new issue that points to the need to stimulate the environmental objective, in particular, through support at the level of agricultural policy instruments.
Highlights
The research on farm objectives refers to both the classical economic theory related to the microeconomic producer theory [1] and heterodox currents such as behavioral economics or complexity economics [2]
The average area of the utilized agricultural area in the analyzed group of farms in the Wielkopolska region was higher than the average farm covered by the farm accountancy data network (FADN) system in Poland
(29 ha in the studied farms compared to 20.5 ha in the FADN in Poland), the value of total assets was
Summary
The research on farm objectives refers to both the classical economic theory related to the microeconomic producer theory [1] and heterodox currents such as behavioral economics or complexity economics [2]. This is due to both the economic and psychological context—issue of perception of the objectives of these problems. Agricultural producers are guided by different objectives in meeting their needs for both the operation of the farm and the household. This is the basis for achieving success and satisfying needs. If we take into account the combination of production and consumption functions, the perspective of perceiving these phenomena is broadened and complicated
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