Public-private partnerships - Financing instrument of the mechanism of economic growth and development of the agricultural sector

financing
Publication Date:
Jan 01, 2017
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Nature:

The purpose of this research is to argue for inclusion in the mechanism of funding and stimulating economic growth of the agricultural sector the use of financial flows from public-private partnerships (PPP) and identification of their possible benefits.

In economic science, economic growth represented a prime topic because by solving the problems in this area it was hoped to achieve the strengthening of the state and increase of its wealth and welfare. All this led to the establishment in the economic field, of an important segment of research, namely, the theory of economic growth that is required to develop rules for optimal use of limited resources, as well as means of achieving nation’s welfare. As in other sectors of the national economy, a series of indicators are present in agriculture that directs the economic growth of the sector, but that can not be monitored in order to ensure a stable economic growth. The state can control such factors as the volume of investments in agriculture, subsidies, customs duties on agricultural products and bank interest, while parameters of external agricultural markets and climatic natural conditions can neither be controlled nor directed by the authorities. But in spite of this, there are a number of important factors by which the state can contribute to the economic growth of the agricultural sector and the country as a whole.

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