The Relationship Between Farm Size And Productivity In Slovakia

Abstract

The paper investigates the relationship between farm size and productivity on chosen sample of companies in Slovakia. The impact of farm size in hectares and credits per hectare in euro on the production per hectare are analysed. The ordinary least square (OLS) and fixed effect model (FEM) regression framework confirms the inverse relationship between farm size and productivity. Credits per hectare have positive impact on productivity of farms. The results of the models show increasing returns to scale in Slovak farms.

Keywords

• farms
• farm size
• productivity
• panel data
• regression analysis