Productive forces development and regional economy

Factors of rural development in the context of decentralisation: empirical research

Economic Annals-XXI

Economic Annals-ХХI: Volume 177, Issue 5-6, Pages: 126-140

Citation information:
Medvid, V., Pylypenko, V., Pylypenko, N., Ustik, T., Volchenko, N., & Vashchenko, M. (2019). Factors of rural development in the context of decentralisation: empirical research. Economic Annals-XXI, 177(5-6), 126-140. doi: https://doi.org/10.21003/ea.V177-11

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Viktoriia Medvid
D.Sc. (Economics),
Associate Professor,
Department of Economics,
Sumy National Agrarian University
160 Kondratiev Str., Sumy, 40021, Ukraine
viktoriya.medved.snau@gmail.com
ORCID ID: http://orcid.org/0000-0002-2257-6276 

Viacheslav Pylypenko
PhD (Economics),
Associate Professor,
Department of Economics,
Sumy National Agrarian University
160 Kondratiev Str., Sumy, 40021, Ukraine
slavapilip@gmail.com
ORCID ID: http://orcid.org/0000-0001-5995-013X 

Nadiia Pylypenko
PhD (Economics),
Associate Professor,
Department of Economics,
Sumy National Agrarian University
160 Kondratiev Str., Sumy, 40021, Ukraine
nadijapilipenko70@gmail.com
ORCID ID: http://orcid.org/0000-0002-1064-389X 

Tetiana Ustik
PhD (Economics),
Associate Professor,
Department of Analysis and Marketing,
Sumy National Agrarian University
160 Kondratiev Str., Sumy, 40021, Ukraine
utv.interagro@gmail.com
ORCID ID: http://orcid.org/0000-0001-9967-0669 

Nataliia Volchenko
PhD (Economics),
Associate Professor,
Department of International Relations,
Sumy National Agrarian University
160 Kondratiev Str., Sumy, 40021, Ukraine
natavol4enko@gmail.com
ORCID ID: http://orcid.org/0000-0002-5748-972X

Mykola Vashchenko
PhD (Economics),
Chairnan of the Board,
WBM Polska Ltd.
17 Zielona Str., Jonkowo, 11-042, Poland
wbm@wbmpolska.eu
ORCID ID: https://orcid.org/0000-0001-5974-6251 

Factors of rural development in the context of decentralisation: empirical research

Abstract. The purpose of this research is to analyse the impact of demographic and socio-economic factors on the assessment of the directions of rural area development in the context of the administrative and territorial reform in Ukraine. This article is based on the analysis of the results obtained in the course of a sociological survey conducted by the authors in 2018 concerning residents of the Znob-Novgorod United Territorial Community (UTC) of Sumy region in order to identify problems and development priorities when elaborating the Development Strategy for the period 2019-2025. Three age groups were identified: up to 35 years old (29.7%), 35 years old to 60 years old (52.4%), and over 60 years old (17.9%), which reflects all major age groups of UTC residents. Young people and seniors are more positive about life in the community, as the main responsibility for solving economic and domestic problems lies with middle-aged people. The share of positively adjusted respondents is growing, with the increase in the level of income received from the minimum to the average in the region. A number of problems, such as environmental, infrastructural and educational issues, are of greater concern to middle-aged people than to young people and older generations. Persons with a higher level of education, in comparison with other major problems, consider insufficient social initiative and activity of inhabitants, low income of the population, a lack of investments, an unsatisfactory condition of roads, a poor quality of medical services to be major problems. For people with a low level of education believe the problems of alcoholism and drug abuse are much more urgent. On the whole, the population is more focused on finding an external resource – most of the answers received regarded available natural resources (more than 40%), while problems related to progressive and efficient local authorities were reported by 16.6%. Only one out of nine respondents realised that the main resource for development is the inhabitants themselves, their activity and entrepreneurship. This is least understood by middle-aged people with incomplete higher education, those who are either self-employed or unemployed, and those with low income. The residents of the community give more priority to the economic directions regarding the development of social, cultural and environmental projects. The results of the analysis of the sociological survey showed the existence of the demographic and socio-economic factors impacting the determination of priority directions aimed at social development and the willingness to take an active part in their implementation. The results of the analysis are logical, however some of them, due to their ambiguity, require further research in territorial communities that have similar conditions of their development and problems.

Keywords: Community Development; Administrative and Territorial Reform; Socio-economic Development; Rural Areas; Rural Communities

JEL Classification: R11

Acknowledgment: The authors are grateful to the Chairman of Znob-Novgorod UTC Mr. P. V. Goncharov for his help in conducting the survey.

Funding: The authors received no direct funding for this research.

Contribution: The authors contributed equally to this work.

DOI: https://doi.org/10.21003/ea.V177-11

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Received 5.03.2019
Received in revised form 7.04.2019
Accepted 10.04.2019
Available online 18.09.2019

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