AN EMPIRICAL ANALYSIS OF THE IMPORTANCE OF FARMERS’ MOTIVATION AND AGRICULTURAL INNOVATION FOR THE DEVELOPMENT OF AGRICULTURAL HOLDINGS IN THE REPUBLIC OF NORTH MACEDONIA

Abstract

The aim of this study was to examine the impact of farmers’ motivation and agricultural innovations on the development of agricultural holdings in the Republic of North Macedonia. The research was conducted on a sample of 426 farmers using a structured questionnaire and a five-point Likert scale, with data analyzed through descriptive statistics and regression analysis. The results indicate a high level of farmers’ motivation and a significant presence of innovations in agricultural production. Additionally, the findings show that farms achieve stable business performance, maintain a good level of organization, and produce satisfactory-quality outputs. Regression analysis confirmed a statistically significant positive effect of both farmers’ motivation and agricultural innovations on farm development, with innovations exerting a stronger influence, while motivation serves as an important supporting factor. These results demonstrate that the combination of human capital and the application of innovations form the foundation for improving efficiency, competitiveness, and sustainability in agricultural production. The findings carry important practical implications for the enhancement of agricultural development strategies in the Republic of North Macedonia.