The economic condition of an area is fundamentally determined by the extent of employement, as well as the size and composition of its active population. No sustainable economic growth is possible without the necessary amount of employees with the proper skills.
As regards the proportion of employees, i.e. economically active people is...significanlty lower in Hungary than not only in Western Europe, but also countries which joined the EU recently. One of the reasons for this fact is the low amount of part-time employment and the other is the phenomenon that the number of agricultural employees – who had a significant role – greatly decreased in the county.
The employment level of the population in the county is nearly identical as that of the North Great Plain region and it is lower than the country average. The activity proportion, i.e. the joint proportion of employees and unemployed people in the population between 15–74 years of age is 3 percentages lower than the country average. The proportion of unemployed people greatly varies depending on the small regions of the county. The proportion of registered unemployed people in the population of active age is the lowest in Debrecen and the highest in the Hajdúhadház small region. The unemployment of career-starters is a further problem to deal with.
The composition of employees in the county is different than the country average. When compared in terms of different economic sectors, it can be observed that agriculture, game management, forestry and fishery are more significant than the country average. Of the provider sectors, the proportion of financial activity, real estate matters and economic services is lower, while that of accommodation services and hospitality is higher than the country average.
There are regional differences similar to unemployment in terms of the income size which is the basis of personal income tax per taxpayer.
The income level in the North Great Plain region is lower than the country average mainly in terms of income paid for work, where this difference is 23%, while it is only 5% in the case of social income. Altogether, the income and expenditure data of the North Great Plain region are not favourable.
Agriculture has played a dominant role among the income sources of population living along the Hortobágy just like in any other rural areas. I represent the situations of settlements along the Hortobágy by studying four of them, such as Balmazújváros, Hortobágy, Tiszacsege and Egyek. Big companies having worked in the examined settlements...had significance in ensuring local working facilities, and restraining people from leaving. Acts dating back to the beginning of the 1990’ies, privatisation, transformation of the state farm and co-operatives have decreased the rate of employment in agriculture. Alternative income sources relating to agriculture, such as bio-farming by alternative plants, herb production and rural tourism will determine the future of agriculture in this area due to the closeness of the Hortobágy National Park, the unique but unfavourable natural conditions for agricultural production, financial aids by the National Agricultural Environmental Programme and the imminent EU-membership. In this way supporting these activities may ensure the livelihood of ex-agricultural workers and alternative income for those working in agriculture.
I am going to deal with two issues in this article:
• with the change of the role of agriculture in the examined settlements,
• with economic analyses of alternative income sources by a model of a family farm.
There are a lot of literatures that investigate the agricultural transition both in Hungary and former GDR. However there is no one, which examines and compares the income situation in the above mentioned countries. The aim of this article is to analyse that. The investigation is based on the data of Economic Accounts for Agriculture (EAA). The... result shows that the agricultural income is much higher in the New Federal States of Germany if we take into account the subsidies, however without subsidies it would be higher in Hungary.
The income of agricultural enterprises varies greatly according to the type of agricultural production. The available data was classified and averaged on the basis of the form of association.
Although the management of the examined enterprises ensured a profit, closer analysis of their cash flows reveals that, at least in some cases, expense
The income of agricultural enterprises varies greatly according to the type of agricultural production.
We analysed the financial situation of some agricultural companies from Szabolcs-Szatmár-Bereg and Hajdú-Bihar counties. We got the data from the Department of Justice from reports made between 1997-1999. The available data was classifie
Although the management of the examined enterprises ensured profit, closer analyses of their cash flows reveal that, at least in some cases, expenses were not always coverable, despite income. Both counties, major emphasis was on improvement and support investments. It is highly probable that these investments will later result in an increasing income level and profit.
Altogether we cannot say which county enjoys a better situation, and what the reasons for the differences are. Further data collection and analyses are needed to find the answers.
Different methods for evaluating property have gained greater importance in agriculture since the change of regime. The open market evaluation could be the best method if the agricultural property had significant turnover, which could serve as a reliable comparison. However, there is no notable turnover, and selling is scarce. And, when there i...s some, the sales contracts are not available. On the other hand, the open market evaluation is almost the only one assessing method in Western Europe and in the United States. The matrix comparing market data in my methodological development helps to estimate the effects of the elements which determinate real estate value of farms.
Another method for evaluating farm property is the discounted future earnings. Enterprises are able to produce series of income continuously during their working periods, which can be considered as perpetuity. This is the base of the discounted future earning evaluation. Determination of income generating capacity is not an easy task. It is also difficult to choose the proper rate of capitalization. If this rate is higher than the usual level, the property will be underestimated. If it is lower, the property will be overrated. According to my calculations the profitability of certain farms of animal breeding may be evaluated under different operating conditions. Furthermore, the capitalisation interest rate may be determined in an objective way.
The problem of applying the depreciated replacement cost evaluation method is that there are big deviations among investment costs in tenders of contractors; moreover the estimations of special depreciation forms are rather subjective. One of the process’s greatest difficulties for reliability is that it is doubtful whether depreciated replacement cost could reach the real market value. The utilisation of this method may be spread further in the future by standardising average gross replacement cost of building as well as by measuring depreciation more objectively.
The requirements and objective of cultivation are in constant change. For example, different cultivation systems are developed for the purpose of soil protection, the preservation of its moisture content and on soils with various precipitation supply or production site conditions. Traditionally, one of the most important cultivation aims is cro...p needs. Further cost saving in fertilisation and crop protection can only be achieved by reducing the quality and quantity of production or it cannot be achieved at all. Furthermore, the costs can be significantly reduced by means of the rationalisation of cultivation. Energy and working time demand can also be notably reduced if ploughing is left out from the conventional tillage method. The key requirement of economicalness is to perform the cultivation at the optimal date, moisture level and the lowest possible cost.
Within production costs, the cost of cultivation is between 3–17%, while they are between 8–36% within machinery costs. It is the vital condition the usability of each technological method to progressively reduce costs. Our evaluation work was carried out with the consideration of the yield data obtained from cooperating farms and the experiment database of the Institute for Land Utilisation, Regional Development and Technology of the Centre for Agricultural and Applied Economic Sciences of the University of Debrecen. Three technological methods (ploughing, heavy cultivator and loosening tillage) were used on several soil types which differ from in terms of cultivability (chernozem, sandy and sandy clay soils) from the economic/economical aspect. We examined the sectoral cost/income relation of maize production as an indicator plant. The maize price during the analytical period was 45 thousand HUF per t. On chernozem soils, the production of maize can be carried out on high income level, while maize production on sandy soils has a huge risk factor. The role of cultivation is the highest on high plasicity soils, since they have a huge energy
demand and the there is a short amount of time available for each procedure in most cases.
I consider it important that the fattening of broiler producers in an economic sense to remain alive in the present difficult situation. This does not mean to me, that just does not generate a loss, but they do remain in their activities after income. Because if you do not have sufficient income in a given sector then the technology becomes obs...olete over time and income deficit due to the possible improvements are still lagging behind, resulting in competitive disadvantages occur. The natural efficiency remains a priority, because fundamentally determine our competitiveness in the broiler production. In the present study, scenario analysis can prove the veracity of my claim, in point of the three most important natural efficiency indicators. The natural efficiency indicators of a company compared to the natural effectiveness of our country and the our competitions (Western-European countries).
...5); font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial;">The biogas sector has never before aroused so much attention as it does today. Combined heat and power (CHP) reliable and cost-effective technologies that are already making an important contribution to meeting global heat and electricity demand. Due to enhanced energy supply efficiency and utilisation of waste heat renewable energy resources, CHP, particularly together with district heating and cooling (DHC), is an important part of national and regional Green House Gas (GHG) emission reduction strategies.
The last decade of Hungarian agriculture was marked and changes which affected all parts of agricultural production. This process resulted in a new ownership and organisation structure. The paper presents the effects of the changes in ownership on land use and the various enterprise forms and intends to outline the main tendencies. In general,...it can be stated that the role of agriculture in GDP production and employment is decreasing in Hungary, but according to concurrent opinions of experts, agriculture still has and will have a major role in income production and the ease of social tensions in rural areas in the future as well. Hungary’s accession to the European Union provides new chances and new prospects for Hungarian agriculture and rural areas. Hungarian agriculture became a part of the internal market which includes about 450 million people. The safety of marketing became stronger, the rate of financial support is increasing and the income of growers will increase in the future. This process implies more obligations and the keeping of strict regulations. Competition inside the internal market is intensifying, competitiveness will be more important while the chances of development and investment of the growers and the feasibility of more effective land use are increasing. After the accession, integration into the directives formulated in the CAP and the packages of measures accepted in it is framework have growing importance.
These directives encourage farm-reallocation, namely the rational estate concentration. In general, it can be stated that rational estate concentration, and more effective land use as a consequence, will increase the efficiency of agricultural production.
Agriculture is the leading national economic sector of Hajdú-Bihar county. The proportion of employees in this sector and the share of pro ducts produced in this region is above the country average. The contribution of agriculture to the GDP is 6.3%, as opposed to the average value of the country (3.3%). Based on their primary activity, 8% of...the enterprises in the county are classified as agricultural and forestry companies, while this proportion is only 5.3% in the whole country.
Nearly three quarters (71.1%) of the sowing area is occupied by maize and other cereals, mainly wheat. This proportion is slightly more than the country average (69.2%). The proportional area of oil crops - including sunflower – and roughage is nearly the same as the country average. However, there is a significant difference in vegetable production. Due to the higher intensity of vegetable production, the area occupied by vegetables is three times the country average. 19.4% of the crop products, 23.5% of animal products and living animals, 25.8% of the income generated by production factors and 29.8% of net enterprise income of Hungary originates from the North Great Plain region.
The facilitation of creating local markets, e.g. local public food supply, satisfying the needs of food trade with local goods, the necessary awareness raising actions, secondary and higher education of experts, as well as the more specific and targeted utilisation of development resources are agricultural development tasks.
Tobacco growing can be regarded as a special small sector of Hungarian agriculture. However, studying it from a different point of view, we can see that it is an outstanding sector among others in agriculture. Not only is its budget importance that makes it significant (its total budgetary income is more than 200 billion HUF), and on the other...hand it also plays an important role in employment and income output.
Nevertheless questions of regulation arise, and especially those of its justification, methods and scope. Moreover, EU accession forces Hungary to redraw its regulatory statutes for legal harmonization. Below is a discussion of the impacts of this process, as well as of the domestic tobacco market itself.
The analysis of capital system of agricultural corporations is a key issue of economics and the effect of it's fluctuation can be observed on several fields of the life of corporations.It influences
for example the assets-, financial- and income situation of the enterprises.The aim of this study is to analyse the connection between capital s
a ratio for the capital leverage and liabilities, by which it can say, to that connect the profit or loss. By the analyse get activity- and size specified results.With the empyrical results I determine the quantile point between the profitable or the non profitable operating.
necessary to ensure the livelihoods of those leaving the agricultural sector and to supplement the incomes of those working in agriculture. I research rural development in four settlements in Hajdú-Bihar County, in Balmazújváros, Hortobágy, Tiszacsege and Egyek, all bordering Hortobágy National Park.
There are many alternative income so
It is one of the main topical objective to establish the conditions of sustainable farming. The sustainable development in crop production also calls for the harmony of satisfying human needs and providing the protection of environmental and natural resources; therefore, the maximum consideratio of production site endowments, the common impleme...ntation of production needs and environmental protection aims, the minimum load on the environment and economicalness. Precision farmin encompasses the farming method which is adjusted to the given production site, the changing technology in a given plot, the integrated crop protection, cutting edge technologies, remote sensing, GIS, geostatistics, the change
of the mechanisation of crop production, and the application of information technology novelties in crop production. Modern technology increases efficiency and reduces costs. The efficiency of crop production increases by reducing losses and the farmer has access to a better decision support information technology system. In addition, we consider it necessary to examine the two currently most important economic issues: “is it worth it?” and “how much does it cost?”. During the analysis of agricultural technologies, we used the precision crop production experiment database of KITE Zrt. and the Institute for Land Utilisation, Regional Development and Technology of the Centre for Agricultural and Applied Economic Sciences of the University of Debrecen.
During our analytical work, we examined three technological alternatives on two soil types (chernozem and meadow). The first technology is the currently used autumn ploughing cultivation. We extended our analyses to the economic evaluation of satellite navigationassisted ploughing and strip till systems which prefer moisture saving. On chernozem soil, of the satellite-based technological alternatives, the autumn ploughing cultivation provided higher income than strip till. In years with average precipitation supply, we recommend the precision autumn ploughing technological alternative on chernozem soils in the future. On meadow soil, the strip till cultivation technology has more favourable economical results than the autumn ploughing. On soils with high plasticity – considering the high time and energy demand of cultivation and the short amoung of time available for cultivation – we recommend to use strip till technologies.
I prepared a “model farm” producing fattening pigs in order to examine the main risk of production and market factors affecting the profitability of fattening pig production. Values of body weight (at the beginning of fattening and at the end of fattening), mortality rate, feed conversion ratio (FCR) of fattening pig as well as the main cos...t and price data were recorded as the input data of the model. Production value per unit, production cost per unit and income per unit were used as output. The Monte-Carlo simulation was used in the model for risk assessment. Based on the results of the analysis, it was concluded that the production value per unit was most affected by the selling price of fattening pig (ß=0.972), the production cost per unit were most influenced by the body weight at the beginning of fattening (ß=0.567) and the feed conversion ratio (ß=0.537), in addition, the change of the income per unit was most determined by the previously factors.
For farm products, it is typical that goods appear in a certain period of time in gross; therefore, from the viewpoint of forestallers/users, it is an important question how much and when to buy and for growers how much and when to sell. Among the costs that have affects on income, we have to emphasize stockkeeping costs (i.e. cost of tied-up c...apital, ordering costs) and acquisition costs. The last one is very important, because we can
notice great divergences in prices for cereals associated with the significant seasonal factors for a given year, so acquisition prices affect substantially the evolution of our costs.
We can establish the strategies in two steps: setting up 2 models and interconnecting them. One means the strategies that differ from each other in ordering quantities and these comparative analyses. This model contains the analyses of seasonal effects and also the results that we apply in the model. The other one is a dynamical mathematical programming model which – by considering alternative investments – helps us to choose from the strategies in the previously mentioned model that one, which assures us maximum income.
...5); font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial;">The summarizing data collection of our study has been carried out in the scope of the FP7-REGPOT-2010-1 ’UD_AGR_REPO’ project as a part of the cooperation with the University of Lincoln. The University of Lincoln is an important partner of the project, the knowledge transfer activities that have been carried jointly with them are multilateral. One of the most important cooperation areas is the analysis of rural areas, rurality itself, determination of breakout points, exploration of alternative income sources, diversification possibilities. Some part of the work of the University of Lincoln on the field of rural development is based on the assessment and documentation global similarities and differences of rural areas. Present study also contributes to that work, it has been prepared on the request of the University of Lincoln with the aim of providing insight into the special political and economic changes/processes that took place in Hungary, and through them into the structure and operation of the unique Hungarian rural areas.
...5); font-variant-ligatures: normal; font-variant-caps: normal; -webkit-text-stroke-width: 0px; text-decoration-style: initial; text-decoration-color: initial;">It is a widely accepted practice in the European Union to break down countries into regions according to their stage of development, their cultural and economic characteristics. The basis of this methodology is the EU-conform MOTS system, which distinguishes territorial units on five levels. Besides the MOTS system, Hungary uses another system, too, which is the basis of our public administration, and whose roots go back to the times of King Saint Stephen: the county system. In Hungary, developmental decisions are taken by a county’s general assembly; at the same time, from an economic point of view the characteristics and competitive advantages of a county can be defined more precisely than those of a region.
Lamb fattening in the past 8 years was generally a loss-making business and it was worth selling only in two weight categories – at 24-27 kg and at 27-30 kg –, because in this categories a modest profit could be achieved in most of the years. Selling lambs at 20-24 kg-weight provides a proper income for the sheep farmers only if the milking... period is prolonged. If the lambs are weaned at a weight of 16-20 kg, then they are not worth selling them in this weight category. The profit of fattening ram lambs is higher and safer than that of ewe lambs. In Hungary, the profitability of lamb fattening is insecure due to the large variability in purchase prices and the instability of the market. When studying the profitability of the two genders combined, it can be stated that the summer fattening period was the most profitable, while if only the rams are considered then the profitability of the autumn and spring periods was the highest, which is due to Easter and Christmas lambs. Based on our results, we came to the conclusion that ewe lambs and rams should be sold at a lower and higher weight category, respectively.
The cormorant (Phalacrocorax carbo) is a bird species that nests sporadically but in colonies, besides larger fishponds and rivers in Hungary. The number of its individuals has been increasing during the last two decades. The species eats solely fish, therefore it can cause serious depredation of the fish stocks in fishponds of intensive system... and after the freezing of the ponds, in larger rivers, which are not yet frozen. The aim of our research is to reveal the damages the birds can cause on the studied areas and the extent of the losses the Hortobágy Fish Farm Co. has to realize.
Our studies were carried out between April 2012 and November 2013. During cleaning, the investigation of the crop contents of the birds and their biometric studies were conducted. The results revealed the diverse nutrition base of the species. In the samples, we have determined 300 identified fish individuals; in 289 cases, the exact fish species were determined, too. Although statistical differences were found between the given pond unit and the consuming of the corresponding fish species (P=0.05% beside), this cannot be considered as absolutely certain.
Our investigation is of considerable significance in terms of nature preservation and not least, it has substantial financial concerns too. Under the ever harder fish production conditions, the presence and thus the permanent nutrition of the bird affect the fishermen. In favour of the maintaining of the natural ecological balance and the income of the fishers, the elaboration of adequate protective and efficient preventive processes will be necessary in the near future.
The backwardness of the rural areas compared to the cities poses a problem all over Europe. In Hungary, a relatively small size of the population lives in the capital, more than 80% of Hungarians live in rural cities or villages. The tension between the countryside and the cities is rather intensified and the symbiotic correlation would need to... be restored. Many people migrate from the countryside, especially young adults, as they have no opportunities to find a job in their hometowns. This phenomenon poses big risks because getting a job is usually difficult everywhere and because fitting into a new environment always involves a lot of difficulties.
Non-renewable energies are restricted and they will not be accessible after reaching a certain limit. People’s everyday activities and the functioning of the economy presuppose the availability of the necessary amount of energy. In the future, a solution that provides the longterm stability of energy for the world will become increasingly necessary. There is a huge potential in bioenergy, more specifically in biomass. The building of biomass plants and putting them into operation creates jobs in the rural spatial environments: a locally available resource that can help in creating the energy safety of the country and the reduction of the dependence on import. The production of energy crops or the crops whose purpose of use is energy could help in strengthening the multifunctional character of agriculture and it can represent a source of income for those living off agriculture under the current uncertain conditions.
There are significant differences in the level of economic development and social relations between the various regions of Hungary, consequently, their competitiveness is also dissimilar. The term ’competitiveness’ has recently gained a regional meaning from various aspects. The unified interpretation of ’competitiveness’ is applicable...to all basic units of the economy in a flexible way, and is therefore applicable on regional level as well. Regional competitiveness is measured against four economic categories: regional income per capita, work efficiency, employment rate and age composition. In addition to an overview of the region, this study will analyse the above components of regional competitiveness based on data describing the region.
The North Great Plain region is one of the backward regions of Hungary. The low level of economic development is mainly due to the lack of industrial development. The region is poor in natural resources, its main resources are land, natural gas fields, carbon dioxide, thermal water and the clay mineral stock.
The structure of GDP per capita
The proportion of the industry and the building industry is not significant. Of the various service provider sectors, trade, transport and telecommunications have a small proportion, while financial and economic service providers have even lower share, which is due to the fact that these sectors are mostly concentrated in Budapest. The share of public and human service prodivers is higher than average due to the University of Debrecen.
The GDP which expresses the economic development of the county in a complex way increased four times its previous value in nominal value between 1995–2009. However, if the real value is considered, the increase is less than 25%, as opposed to the country average, which was less than 40%.
The most complex index of the development level of an economy is GDP expressed either in nominal or real value. If expressed in dollars, GDP is suitable for international comparison with the correction based on the purchasing power parity per person.
The county represents 4.3% of the people employed in the industrial sector in Hungary, while its share in industrial production is only 3.3% which is lower than the regional and population share of the county within Hungary. As regards industrial production per person, Hajdú-Bihar was the 10th county in Hungary; therefore, it is considered to be a less industrialised county.
The product structure of GDP is suitable for drawing useful development conclusions, but the result is more reliable if the income creation ability is also analysed on the basis of the employment structure.