Living Standards Measurements Study - Serbia 2002 - 2007

10.5. CONCLUSION
1. One of the main characteristics of poverty in
Serbia is the high level of poverty in rural areas.
It has however halved from 2002-07, but is
reducing more slowly than urban areas. The
main cause of rural poverty is the high
dependency of the rural economy on agriculture
and insufficient diversification of the economic
structure.
2. Agricultural performance in Serbia shows
extensive production, a strong dependency on
natural factors and weather conditions along
with low soil and labour force productivity.
Hence, in circumstances of high dependency of
the rural economy on agriculture the value of
realized production in this sector has a great
impact on rural poverty.
3. Unfavourable ownership structures,
underdeveloped land and labour market and
modest human resources are the main causes of
poverty of agricultural households.
4. The proportion of agriculture in total income of
agricultural households is lower in comparison
to its share from employment, which is caused
by the low productivity of the agrarian sector. In
such circumstances, wages generated in other
sectors contribute more to the standard of living
of agricultural households than income generated
from agriculture.
BIBLIOGRAPHY
1. Božić D., Munćan, P., Bogdanov N. (2004): "
Changes in ownership and socio-economic
structure of agricultural households in Serbia ",
Agrarian economics, No. 3-4, Belgrade, pg. 323-
333, YU ISSN: 0352-3462
2. Bogdanov N. (2005): „Economic policy and
necessary institutional reform of the Serbian
agrarian sector“, proceedings of Symposium on
Economic policy in 2006, Agricultural
University of Belgrade, Belgrade, pg. 261-272;
3. Bogdanov N., Božić D. (2005): “Changes in
ownership and social and economic structure of
agricultural households in Serbia“, chapter in
Family farms in Serbia in transition, Agricultural
University of Belgrade, Belgrade, pg. 91-108,
ISBN 86-84435-06-0;
5. Agricultural households with a more competitive
(younger and more highly educated) labour force
are richer. Such a labour force more easily finds
quality and better-paid jobs, and generates higher
external income.
6. In relation to poverty, medium size farms are
particularly vulnerable. These farms are facing
growing competitiveness in the market and are
polarized to that of market-oriented and semiown
production.
7. The percentage of agricultural households with
market production has reduced, but the value of
market production has grown rapidly in the
richest farms, again as a consequence of
specialized production and strengthening of the
dual agrarian structure.
8. Own production consumption has a great share
in the consumption of poor farms, confirming
that land ownership represents an important
factor as regards meeting ones own needs,
though not generating significant income.
4. Božić D., Bogdanov, N. (2005): ”Changes in
social and demographic structure of family farms
in Serbia” chapter in Family farms in Serbia
during transition, Agricultural University of
Belgrade, Belgrade, pg. 68-89, ISBN 86-84435-
06-0.
5. Bogdanov N., Božić D., Munćan P. (2006):
„Agricultural and rural policy of Serbia –
institutional framework and implementation“,
Journal of Central European Agriculture Vol 7
(2006) No 3, Topusko, Croatia;
6. Božić D., Bogdanov N. (2006): “Serbian farming
policy in transition”, chapter in Agriculture and
Serbian rural development in transition, DAES
and Agriculture University of Belgrade,
Belgrade, pg. 17-34, ISBN 86-86087-02-7, ISBN
978-86-86087-02-7
150 Living Standards Measurements Study - Serbia 2002 - 2007