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Abstract
After a period of strict and centralised planification, Hungary has adopted a more flexible and realistic system economic information given to the cooperatives, their national council being consulted before general policy is fixed. The change from peasant farming to cooperative firms has required considerable investment. Since agricultural prices are fixed, it is the non agricultural sectors which finally bear the weight of subsidies given to agriculture. It seems urgent that the cooperatives should be encouraged to finance their own investments by raising agricultural prices and by encouraginq an increase in the most profitable productions. Loans should be used more efficiently to develop and orientate agricultural production.