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Rural Development and Unemployment Reduction

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  • Blinova, Tatiana V.
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    Abstract

    The objective of this paper is to study the link between rural regional development strategies and unemployment reduction in agricultural regions. Based on empirical data, the paper presents the assessment of the "diversification effects" for the regional labor demand achieved through the development of the non-state sector, small businesses and the service market on the regional labor markets' behavior. By using the regression models we analyze how labor market performances depend on the patterns of the employment structure. Special attention is paid to the comparative analysis of agrarian and industrial regions. It is shown that high rates of employment in the agriculture weaken the position of the region on the labor market. However, diversification of the employment structure of the agricultural regions is a factor reducing the risk of rural unemployment. In rural regions the development of non-agricultural employment produces positive effects on the regional labor markets' behavior. We study the relationships of the labor market performance with the key directions of the economic reform like changes in the ownership structure, development of small businesses and the service market.

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    File URL: http://purl.umn.edu/24821
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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 2002 International Congress, August 28-31, 2002, Zaragoza, Spain with number 24821.

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    Date of creation: 2002
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    Handle: RePEc:ags:eaae02:24821

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    Related research

    Keywords: rural development; Russian regions; agricultural; diversification effects; unemployment reduction; Community/Rural/Urban Development;

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    1. Peter Huber & Andreas Worgotter, 1997. "Local Labour Market Dynamics in the Czech and Slovak Republics," William Davidson Institute Working Papers Series 121, William Davidson Institute at the University of Michigan.
    2. Abraham, Katharine G. & Katz, Lawrence F., 1986. "Cyclical Unemployment: Sectoral Shifts or Aggregate Disturbances?," Scholarly Articles 3442781, Harvard University Department of Economics.
    3. Bean, Charles R, 1994. "European Unemployment: A Survey," Journal of Economic Literature, American Economic Association, vol. 32(2), pages 573-619, June.
    4. John S. Earle & Saul Estrin, 1997. "Privatization Versus Competition: Changing Enterprise Behavior in Russia," William Davidson Institute Working Papers Series 70, William Davidson Institute at the University of Michigan.
    5. Dimitri G. Demekas, 1990. "Labor Market Segmentation in a Two-Sector Model of an Open Economy," IMF Staff Papers, Palgrave Macmillan, vol. 37(4), pages 849-864, December.
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