Structural Changes and Diversification of Agricultural Households' Incomes in Hilly Areas
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The research studies structural changes in agriculture in the Škofja Loka region
based on an empirical analysis of income diversification in a sample of agricultural
households (AHs) in 2001 and 2006. The analysis was conducted from three points
of view: for the entire sample of AHs, according to socio-economic types of AHs, and
according to areas with different levels of development and different natural
endowments for agricultural production. The numbers of households professionally
engaged in farming has declined. In turn, the number of AHs abandoning farming
has increased. Structural changes differ among geographic areas. Income derived
from agriculture is insufficient for survival for most of AHs, making income
diversification inevitable. Strategies of AHs are unclear. Farms are abandoning
farming due to low profitability of production and better employment opportunities in
non-agricultural activities.