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Internal research projects - year 2013

Project No.: 1273

Project title:

The impact assessment of investment support provided within frame of axis I of Rural Development Plan 2007-2013 (Medonos)

Head of project:

Ing. Tomáš Medonos, Ph.D.

Staff:

Ing. Jindřich Špička, Ph.D., Ing. Jan Boudný, Ing. Martin Hruška, Ing. Zuzana Hloušková, Ing. Václav Vilhelm, CSc.

Objective:

To quantify the causal effects of the structural support in comparison with the contra-factual situation without intervention in case of supported farms. Impacts are evaluated primarily by means of the economic performance and other non-economic contributions that sequent on the structural support for farms in a longer time horizon.

Particular objectives:

  1. Conducting updating of the possible economic and non-economic impacts of investment support in terms of upcoming economic results of farms in period 2007-2011.
  2. Evaluation impacts of investment support in case of milk production focused on following aspects: milk yield, costs of production, factors productivity and other parameters.
  3. Evaluation of investment activity of farms according their size with taking in account the degree of their capital participation in other farms and probability to participate in supported measures of RDP with the view of possible limitation their participation in the program by setting of a size limit.

Methodology, assumptions, sources:

The analyses refer to the knowledge ascertained till this time and methodology in previous internal research project 1266. There will be applied verified methods of the contra-factual analysis for an impacts evaluation of the selected measures in longer period especially the Propensity Score Matching with the kernel matching approach and the nearest neighbour. We will use data from the database Creditinfo for period 2007-2011 and newly form the database FADN, where small farms are also represented and it will be possible to use more structural variables. For more accurate statement of economic and non-economic gains of the representative supported projects in longer period will be realised case studies in farms that received support at least two years before evaluation. In case of the particular objective 2 we will assess impacts of support for selected types of investment in dairy production based on data from the Cost survey of ÚZEI for period 2004-2011. We will apply contra-factual analysis and the additional sample survey for identification of production technologies and time periods of their renewal. The impacts will be valuated not only from the point of the costs of production but also milk yield, technological change, change of technical efficiency and total factor productivity. In case of the particular objective 3 we will carry out statistical assessment of relation among the capital participation in the farm group, their investment activity, financial performance, stability and participation in structural funds on the basis of the databases Creditinfo and the Monitoring system of capital relations that are provided by firms Soliditet, s.r.o. and Čekia, s.r.o.

Outputs and their use:

Methodological practices can contribute to the validation of statistical methods for the design of comprehensive evaluation and categorization of regions. The outputs will be also specialized maps that can help with visualization of results.

The factor identification enables better “harmonization” and policy aiming in rural development at the whole national and regional level. It can help to review effects of rural development policy and it gives a basis for future preparing of rural development.

Outputs will be suitable to spare by using National Rural Network (MoA), where can be created communication platforms of rural development with discussion about better support aiming with overlap in rural development.

  • Verification of methodologies (particular methods of contra-factual analysis) for ex‑post evaluation of RDP 2007-2013.
  • Acquisition information about benefits and so-called deadweight effects of support.
  • Proposition of effective monitoring system for this complex measurement.
  • Methodology adjustment for monitoring indicator Gross Value Added.
  • Examination of the impact indicator newly proposed by European Commission - Total factor productivity in the frame of monitoring and evaluation of RDP.
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