The Influence of State Paternalism on the Operating Results of Peasant (private) Farms in the Regions of the North

Abstract

State paternalism, as a manifestation of state policy in relation to agriculture as a whole and peasant (private) farms (hereinafter referred to as peasant private farms - PPF) in particular, is an integral element of the modern society and having a number of specific features in the conditions of the northern territories. Paradox is that the recent observed closer attention to regulation of agricultural production is not manifested in the corresponding increase in the productive efficiency of the PPF. The hypothesis of the study lies in the fact that the insufficient effectiveness of state support results not only from the non-conformance between the scale and measures of state support to needs and expectations of farmers, but also distinctive features of economic managements in the conditions of the northern territories. This article is devoted to the study of the measure of the influence of state support on the conditions and results of peasant private farms. As the main methods of research, we used: empirical methods, statistical methods, regression analysis method, interview method. In the course of the research, representatives of regional authorities, local self-government, heads of the PPF of the district were interviewed. The undertaken survey made it possible to identify the features of implementation of the state program to support agricultural production in the North, the factors preventing from the sustainable development of peasant farms. As a result of the study, we compiled the hierarchical system of equations for multiple linear regression of the dependence of the results of economic activities of farmers in the northern territories on financial measures of the state influence on the peasant farms activities. These results can be used when developing the supporting measures for peasant private farms and making the decisions on introduction of amendments into regional programs on developing the agro-industrial complex.