Analysis of the Effects of the Rural Convergence Industry Policy on Regional Agricultural Economy

• Published in: 농업생명환경연구, 37(1) pp. 1 - 15
• Main Authors: 황윤미, 김종화
• Format: Journal Article
• Language: English
• Published: 농업생명과학연구원 01.03.2025
• Subjects: 농학
• ISSN: 2233-8322; 2508-870X
• DOI: 10.22698/jales.20250001

The rural convergence industry (RCI) is a key strategy for enhancing the productivity and competitiveness of regional agriculture and promoting sustainability. This study analyzed the effects of the RCI policy on the regional economy using a fixed-effects two-stage least squares (FE-2SLS) model. The analysis revealed that an increase in the number of certified RCI operators positively impacts the agricultural, forestry, and fishery gross regional domestic product (GRDP) by 3.1 billion won. This suggests that the RCI contributes positively to agriculture-related economic activities. However, a trend was observed in which an increase in the proportion of small farmers correlates with a decrease in the agricultural, forestry, and fishery GRDP. This indicates that while the participation of small farmers enhances the policy’s effectiveness, their low productivity limits their economic contribution. Based on these findings, this study suggests the need for promoting inter-industry convergence and providing practical support for small-scale farmers. KCI Citation Count: 0