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Effectiveness of Financial Support to Agriculture: General Assessment and Inter-Budget Effect

Author

Listed:
  • A. M. Kalinin

    (National Research University Higher School of Economics)

  • V. A. Samokhvalov

    (LLC Biznes Resheniya/SBS Consulting)

Abstract

— The paper discusses the relationship between the total amount of budgetary funds spent on the agricultural sector and the dynamics of the industry in 2003–2018. Since the second half of the 2000s, government spending on agricultural support has been at a fairly high level, which is accompanied by a significant positive response from industry indicators. Based on the analysis, it has been found that government spending at the federal level significantly affects the creation of value added. The observed level of state intervention in the agricultural economy is sufficient to obtain the desired result of spending funds. However, this influence is less than could be supposed from the theoretically expected impact of the financial leverage of credit support. Regional costs, on the contrary, do not affect value added, i.e., the centralization of incentive policies in agriculture has proved to be justified.

Suggested Citation

  • A. M. Kalinin & V. A. Samokhvalov, 2020. "Effectiveness of Financial Support to Agriculture: General Assessment and Inter-Budget Effect," Studies on Russian Economic Development, Springer, vol. 31(5), pages 565-572, September.
    • Handle: RePEc:spr:sorede:v:31:y:2020:i:5:d:10.1134_s1075700720050081
    DOI: 10.1134/S1075700720050081
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    References listed on IDEAS

    as
    1. V. I. Denisov, 2019. "Acceleration of the Development of Agriculture in the Russian Economy by Increasing the Efficiency of the State Support of Rural Commodity Producers," Studies on Russian Economic Development, Springer, vol. 30(1), pages 66-73, January.
    2. F. N. Mukhametgaliev & L. F. Sitdikova & F. F. Mukhametgalieva & E. R. Sadrieva & F. N. Avkhadiev, 2019. "Trends in the Formation of the Current Agrifood Policy of Russia," Studies on Russian Economic Development, Springer, vol. 30(2), pages 162-165, March.
    3. Valentina Neganova & Aleksey Dudnik, 2018. "Improving the State Support of Agriculture in a Region," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(2), pages 651-662.
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