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The paper aimed at ex-post analysis of impact of subsides on the economic situation of farms, with special emphasis on the impact of direct payments. Chapters: Mechanisms and effects of agricultural subsidies – a theoretical depiction. Impact of the CAP reforms on income volatility and income risk of individual agricultural holdings – research concept. Value-based management and assessment of financial situation – selected problems of finance management of family farms. Conditions for non-agricultural activity of individual farmers. Subsidies versus finances and economics of farms belonging to natural persons. Impact of direct payments on economic performance of farms.


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