Designing an Effective Rural Development Strategy
Richard
Reeder
Technological change and the shift to a more
competitive global economy have reduced employment
in farming and many other rural-oriented industries.
To help rural communities adjust, Federal, State,
and local governments have invested in improved
education, training, and infrastructure, and provided
other valuable assistance. But without a good local
plan or strategy, these investments are often unsuccessful.
Most rural development experts
argue for an inclusive, local strategy-building
process that proposes ways to build on community
strengths and shore up weaknesses. A community’s
strengths may include an education system that produces
a highly skilled labor force or natural amenities
that attract tourists and future residents. Local
weaknesses may include inadequate infrastructure,
lack of a highly skilled workforce, or a housing
shortage.
A collaborative effort using an
entire region’s assets may be required to
help a locality improve access to community colleges,
airports, amenity attractions, and telecommunications.
Successful economic development strategies pay attention
to market trends when identifying economic niches
where the locality can have a comparative advantage.
For instance, some communities may find it economically
feasible to focus on developing value-added food
processors, particularly if raw inputs are plentiful,
demand for the industry’s output is significant
and rising, and transportation links and other business
location factors match the industry’s needs.
These “niche” strategies try to foster
the growth of industries with desirable qualities,
such as high wages and long-term growth potential.
Effective development strategies
also aim for economic diversification, so the community
is less subject to fluctuations associated with
one or two industries. A focus on entrepreneurship
and small business development can be particularly
helpful.
Local strategies will vary. For
example, agricultural or manufacturing areas may
focus more on improving education and training,
upgrading Internet connections, and finding new
niches—such as alternative energy production—to
encourage renewed growth. In contrast, rapidly growing
communities may pursue policies aimed at managing
growth to make it more sustainable and amenable
to local quality of life.
Regardless of the local situation,
effective development strategies recognize the importance
of community development, including improved housing
and health, and reduced crime and poverty. Such
activities share the gains from economic development
with those who might otherwise not benefit and boost
local support for the strategy. Community development
also helps attract people and industry to the community,
since many consider noneconomic factors in their
decisions to relocate.
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