ANALYZING THE AFFORDABLE DIMENSIONS FOR RESTRICTING THE DIVISION OF AGRICULTURAL LAND: THE CASE OF AZERBAIJAN

Abstract

Applying restrictions to the division of agricultural land parcels can potentially prevent fragmentation and ensure the efficient use of land. To achieve effective regulation indicators that are justified as targets in evaluating the appropriate dimensions of the plots covered by the legislation need to be defined. This article examines the issues involved in determining the size of land plots that are subject to restrictions, based on efficiency criteria and the necessity to ensure the viability of farms per the goals set for their regulation. To evaluate the size of the areas, it is proposed to use the minimum level of the reference income indicator, which determines the viability of the farm. The authors have prepared formulas for calculating guidelines for the size of the subdivided land areas using the average level of wages in the agricultural sector and the amount of income necessary to meet minimum needs as the basis for the reference income. Using these formulas, the corresponding target indicators, differentiated by regions, are calculated, and advanced proposals are made for their application.

Keywords

• land fragmentation
• limitation of land subdivision
• minimum size of land plots
• farm viability
• reference income