RURAL DEVELOPMENT AND AGRICULTURE: OPORTUNITIES FOR MITIGATING THE FINANCIAL AND ECONOMIC CRISIS AND RESUMING ECONOMIC GROWTH
Titel:
RURAL DEVELOPMENT AND AGRICULTURE: OPORTUNITIES FOR MITIGATING THE FINANCIAL AND ECONOMIC CRISIS AND RESUMING ECONOMIC GROWTH
Auteur:
P. I. OTIMAN
Verschenen in:
Lucrări stiinţifice. Management agricol
Paginering:
Jaargang XI (2009) nr. 1 pagina's 7-42
Jaar:
2009
Inhoud:
The acceleration of the national economies interdependencies within the world economy as well as the increasing connexions and sector dependencies of the country’s economy are processes that determine the connexion of Romanian economy and agriculture (rural development in a broader sense) to the current financial and economic crisis.Considering the present frame and world (and Romanian) economic climate, the main dilemma regarding agriculture and food processing economy’s position within the crisis’ context can be thus formulated: rural development and agriculture are factors of accentuating the crisis or (potential) solutions of mitigating the crisis and re-launch economic growth? Starting from today’s state of the Romanian rural setting (precarious infrastructure, insufficient technical endowment of the rural territory, villages and households; preponderantly agricultural rural economy; low absorption of agricultural workforce in non agricultural rural economy etc.) and agriculture (all levels of agricultural activity are unbalanced; very slow economic growth with a high degree of weather dependency (from simple to double); technical and structural obsolescence of the capital; reduced investment and as an effect, insignificant growth and modernising of assets; low absorption of European funding; low productivity and output; still high presence of sustenance agricultural economy; major unbalance in food supply safety; low importance of commercial agriculture; markets contraction; increasing transformation of Romanian agricultural goods in a market for imported goods; price distortion; profoundly negative trade balance for agricultural goods; unbalanced participation of farms in the distribution of the profit from agricultural activities, considering the smallest portion of the Gross Added Value returns to the farmers and most of it to the traders, all these leading to a reduced degree of compatibility and competitiveness of Romanian agriculture on the European market and in a broader sense the world market), accepting from the economic practice and doctrine the fact that agriculture is a vital economic activity for society, and it represents a sector that contributes to maintaining the stability, continuity and growth of economy, and, in the current situation, in mitigating, to a great extent, the economic crisis. But, this contribution can manifest itself only in the presence of massive investments in productivity increasing infrastructure (watering systems, farms consolidation) and in the technical and technological endowment of the rural setting and villages, in rural non agricultural economy, agriculture and rural development as a whole, as factors of economical growth.
Uitgever:
Universitatea de Ştiinţe Agricole şi Medicină Veterinară a Banatului Timişoara (provided by DOAJ)
Tijdschrift beschrijving