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Economic Analysis: Theory and Practice
 

Estimating the resource potential for agrarian regions development

Vol. 15, Iss. 3, MARCH 2016

PDF  Article PDF Version

Received: 29 January 2016

Accepted: 10 February 2016

Available online: 29 March 2016

Subject Heading: INTEGRATED ECONOMIC-SOCIO-ECOLOGICAL ANALYSIS

JEL Classification: O11, O18, Q18

Pages: 70-83

Golovina S.G. Kurgan State Agricultural Academy, Kurgan, Russian Federation
s_golovina@yahoo.com

Pugin S.V. Kurgan State Agricultural Academy, Kurgan, Russian Federation
pugin412@mail.ru

Importance Despite the significant achievements of Russian and Western economists, the estimation of resource potential of rural areas and its impact on their development is studied insufficiently.
Objectives The study focuses on defining the methodology for resource potential estimation, taking into account the specifics and priorities of area development within regions.
Methods We apply the Principal Component Analysis to make a list of indicators to determine the condition of rural territories. The tools of cluster analysis enabled to group areas. The contingent valuation method permitted to build the hierarchy of agricultural production functions (economic, social, ecological), determine their importance for rural communities, and evaluate priorities of market and non-market performance of agriculture. The ranking of additional functions of agriculture was made under the analytical hierarchy method.
Results We made three groups of districts of the Kurgan oblast based on eight selected indicators. The study demonstrated close correlation between economic, social and ecological development of the oblast. In general, the rural population of the Kurgan oblast considers the economic function of agriculture as the most important, then go social and ecological functions. After the areas reach a certain level of production development and solve economic problems, the importance of social life increases, and then go the protection of environment, biodiversity, rural landscapes, and natural resources.
Conclusions The obtained rating orients the regional policy towards achieving high rural incomes, increasing the employment in rural areas and their sustainable development, and coordinating the production development with the interests of rural communities.

Keywords: resource potential, zone, territorial development, rural areas, monitoring

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