Zofia Kołoszko-Chomentowska
pages: 65-72, JEL classification: 013, Q12, Key words: agricultural holding, financing, public funds, farm income, Abstract: In this paper, the effects of financing of agricultural holdings in new member states of the EU and the development of these holdings are assessed. The income of a family-owned agricultural holding was accepted as the basic measure of a holding\'s capability for extended reproduction and development. Selected elements of financial analysis were also applied. The level of family farm income and reinvestment of fixed assets was varied in EU-10 agricultural holdings over the years 2004-2009. The level of family farm income was mainly dependent on subsidies and subventions. A low dependence between the value of family farm income and net investment value was observed (R2=0.243), and a high dependence between labour productivity and labour profitability was observed (R2=0.734).Positive changes took place in the equipping of agricultural holdings with fixed assets. Growth of capital saturation of land was observed in all countries. Holdings taking advantage of external sources of financing had greater developmental capabilities. The net investment value was positively correlated with the debt ratio, although this dependence was low.