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INTERVENTION ON THE AGRICULTURAL LAND MARKET IN RELATION TO THE END OF THE TRANSITIONAL PERIOD FOR PURCHASING AGRICULTURAL LAND BY FOREIGNERS

Wieslawa Lizinska (), Renata Marks-Bielska () and Karolina Babuchowska ()
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Wieslawa Lizinska: University of Warmia and Mazury in Olsztyn, Poland
Renata Marks-Bielska: University of Warmia and Mazury in Olsztyn, Poland
Karolina Babuchowska: University of Warmia and Mazury in Olsztyn, Poland

Equilibrium. Quarterly Journal of Economics and Economic Policy, 2017, vol. 12, issue 1, 171-183

Abstract: Research background: A traditional form of state intervention in agriculture comprised regulating the rights to ownership. One of the often discussed aspects of regulations refers to those binding for foreigners. Purpose of the article: The objective of the article was to analyse the position (of the Euro-pean Economic and Social Committee and the Polish legislator) regarding the phenomenon of purchasing agricultural property by foreigners as well as the opinions of farmers on the consequences for the agricultural land market resulting from ending the transitional period in Poland for purchasing agricultural property by foreigners as on 1 May 2016. Methods: Direct studies were conducted in 2015 among 86 farmers in the Warmian-Masurian Voivodeship. Findings & Value added: The main reason for such a discussion conducted glob-ally and in Europe is the phenomenon of excessive concentration and the use of land for non-agricultural purposes. Whereas, the European Economic and Social Committee indicates that in order to limit unfavourable practices in the EU member states, activities directed at preventing speculation, preserving local traditions and ensuring a proper usufruct of land should be permitted. The majority of farmers were afraid of the changes in the agricultural land market after the end of the transitional period in purchasing agricultural property by foreigners. They emphasised the above by expressing opinions on regulations binding in the transitional period and their effectiveness. With regard to the provisions of the Act of 5 August 2015, farmers were afraid of an increase in prices of agricultural land and the capital advantage of foreigners.

Keywords: state intervention; agricultural land market; transitional period; foreigners (search for similar items in EconPapers)
JEL-codes: R38 Q15 Q18 (search for similar items in EconPapers)
Date: 2017
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