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Transcript
Features of the development of agricultural production based on the stepping
up of investment activity
Geraimovych V. assistant Department of finance
National University of Life and Environmental Sciences of Ukraine
For the effective development of rural economy of Ukraine it is vital to create
an active financial market in the country and a complex system of its connection to
international financial flows, as well as to increase the level of investment support for
agricultural production. The structure and the amount of investment at the level of
each business unit are the main factors determining the investment development of
the country. The article analyses the characteristics of agricultural production on the
basis of increased investment activity and identifies the main sources of investment
resources.
Theoretical provisions of the peculiarities and the methodical and practical
recommendations for improving the management of the investment process and
determine its impact on the economic development of the agricultural sector in the
region.
Developed and justified mechanism to assess the impact of agricultural
investment policy of the country for the development of the investment process in the
region, based on a comprehensive assessment of factors affecting the efficiency of the
investment process in the agricultural sector of the region, estimates the aggregate
risk investment in regional AIP and evaluation of economic responsibility for social
investors and economic outcomes of investment projects in the region.
Ensuring the development of agricultural production based on boosting
investment activity has significant differences from other sectors of the economic
complex. In most industrial sectors of national economy complex problem of
investment activity has two directions of manifestation: the enlarged reproduction of
© В. Л. Гераймович,
2014
functioning capital (increase of the mass of the core and the circulating means of
production) and improve qualitative parameters tools.
The choice and adjustment of the desired quality characteristics of the means of
production are managed. In the same sector in addition to these two directions of
investment-innovative activity is preceded by the most important and specific
direction to the industry associated with the fact that the main mean of production
here is land, biological means of production and a factor that is beyond human
control is natural-climatic conditions. Land resource (as capital) is limited, it may not
increase arbitrarily. This leads to the specific features of the target or the
intensification of agricultural production
Investment intensification in agriculture – the process is more complicated than
in other industries and less dependent on the entity. The default development of
agricultural production on the basis of the investment model, as already suggested
above requires a radical update of technical equipment produced by the industry, that
is, tasks that far transcends a particular entity.
Given the substantial loss of production capacity that occurred in the preceding
period of economic depression, this task is to implement large-scale measures to
replenish the lost and worn equipment manufacturing industry, in conjunction with
their modernization and optimization of the structure of the composition by the
criterion level of performance and compliance with the modern advanced
technologies of production.
Key words: Investment, agricultural production, agricultural sector, economy,
agroindustrial complex (AIC)