Farmers and entrepreneurs – individual action and two ways of development

Abstract

The subject of the article is an income utility of farmers and entrepreneurs households. It presents the results of non-identified data from households` budget survey conducted by Central Statistical Office. The aim of this article is to compare the individual activity of households in the economic dimension related to income and directions of its distribution, on this basis to conclude about possible similarity and assumed differences in the way of development of these two types of farms. The results were treated into statistical analysis covering estimation of the parameters of the utility function of income based on B.M.S van Praag model with fit to a log-normal distribution. The results confirmed the assumed hypothesis of various ways of households’ development.