The impact of common agricultural policy on farmers income in Romania

Abstract

The paper proposes is to analyze the current situation and prospects of the Romanian agricultural and rural economy and to recommend actions to reduce potential risks of fully integration of Romanian agricultural economy in the rural economy of the European Union. This paper tries to provide an updated the agricultural diagnosis and rural development in Romania and assess the global implications on the rural economy diversification and create new jobs. The subject includes theoretical addressing agricultural management system and characteristics of the studied phenomena, directed and coordinated contemporary management. Recent research shows that changes in agriculture and rural development are reflected in the economic downturn, the occurrence of demographic problems (increased distances between work and home, low rural population), changes in social structure, refocusing on value systems, pressures arising ecosystems, destruction of cultural heritage areas, and reducing income disparity, changing habitat preferences (second homes in the village). Integrating agriculture into the market economy, technical and economic modernization is done with great difficulty due to various reasons: lack of capital and a well organized credit system, inadequate material resources, dependence on upstream prices due to high input sites industrial and agricultural nature, but also downstream, and following the disruption of agricultural contracting system.