The evaluation of the impact of support on Lithuanian farms investments | Zendy

Irena Kriščiukaitienė | Zendy; Virginia Namiotko | Zendy; Rolandas Kripaitis | Zendy

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The evaluation of the impact of support on Lithuanian farms investments

Author(s) -

Irena Kriščiukaitienė,

Virginia Namiotko,

Rolandas Kripaitis

Publication year - 2015

Publication title -

management theory and studies for rural business and infrastructure development

Language(s) - English

Resource type - Journals

eISSN - 2345-0355

pISSN - 1822-6760

DOI - 10.15544/mts.2015.34

Subject(s) - lithuanian , logistic regression , logit , business , ordered logit , survey data collection , econometrics , economics , statistics , mathematics , philosophy , linguistics

The paper aims to evaluate the impact of support on Lithuanian farms investments. Logistic regression, also called a logit model, was used to determine the probability of investing. The regression was estimated on cross-sectional data set of Lithuanian family farms participating in the Farm Accountancy Data Network. It was specified for investments in machinery and equipment. The research showed that support encourages investments in machinery and equipment. However, scenario analysis revealed that the impact of different support scenarios on the probability of investing is relatively small. It was also confirmed the importance of farm characteristics in making investments. JEL Codes: C50, G11, Q12.

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