The purpose of this study is to present a desirable direction for the comprehensive rural village development project by analyzing economic accomplishments and spill-over effect in the regions where the comprehensive rural village development project ...
The purpose of this study is to present a desirable direction for the comprehensive rural village development project by analyzing economic accomplishments and spill-over effect in the regions where the comprehensive rural village development project were completed in late 2009. Specific goals of this study to achieve the objective herein are as follows:
First, local residents in the regions where the comprehensive rural village development project was completed were surveyed to determine whether there were any qualitative or quantitative economic accomplishments after the comprehensive rural village development project was implemented.
Second, the factors influencing the economic accomplishment of comprehensive rural village development project were analyzed, and the direction for effective implementation of comprehensive rural village development project was presented.
Third, the spill-over effect on the nation's economy, the indirect economic accomplishment, was analyzed which entailed from the implementation of comprehensive rural village development project, the public investment project.
This study is meaningful, given that the economic accomplishment of comprehensive rural village development project was analyzed through the survey of local residents living in the project region where the project was completed, differentiated from the existing studies that focused on the method of setting plans for comprehensive rural village development project, identifying problems, and putting forth the measures for stimulation, etc in relation to the comprehensive rural village development project.
First, 10 regional zones were designated on the basis of the development patterns and characteristics among 36 regions where comprehensive rural village development project was completed in late 2009. On the basis of the details of survey results, analytical methods such as cross-analysis, ANOVA, factor analysis, Logit analysis, etc. were employed to analyze the economic accomplishment of comprehensive rural village development project. From the results of analysis, it was found that the awareness of the project was mostly high except some regions and the most important goal of comprehensive rural village development project was to secure the source of income. Also, it was found that local residents had very positive views about the project as 4.03 scores were given to their satisfaction with the results of project on the 5-point Likert scale. They showed high satisfaction with the improvement of scenery, increase in the number of visitors to the village, and promotion of village which were the positive accomplishment of the project, while they had relatively lower satisfaction in terms of the increase in individual income. In relation to the negative aspect of project, it was found that many people had negative views that the operation of project was driven by minority of people and the benefit of development was concentrated on a few people. Though local residents had high satisfaction with the public facilities, they expressed relatively low satisfaction with the project that generated individual benefits.
Second, the results of analysis on the difference in the economic accomplishments, depending on the demographic characteristics, suggested that the satisfaction with the project was high among the aged, high farm income earners, and operators of large farms.
In relation to the source of income, the satisfaction with the project implementation was the highest in the food and accommodation industry, followed by the farm and livestock industry, which implied that the satisfaction with the project was higher among those who would benefit a lot from the increasing number of visitors.
The increase in income was high among men by gender, those in their 40s and 50s by age, and those with high education background. The incomes of the local residents who participated in the project as members of the Steering Committee were found to have risen by 2.6 times higher compared to those who participated as ordinary local residents in relation to the increase in the income by patterns of participation in project.
Third, the income was found to have increased by approximately KRW 2,504,000 when the income before and after the implementation of project was compared, which suggests that the implementation of comprehensive rural village development project made a practical contribution to the increase in the income of local residents in regions where the project was carried out.
Fourth, the increase in income by group based on the pattern of participation in the comprehensive rural village development project was higher among those who participated in the project as members of the Steering Committee than those who participated as ordinary local residents after the implementation of project. Specifically, the local residents who were members of the Steering Committee had about 2.6 times higher income than those who participated in the project as ordinary local residents, which suggests that the benefits of development project were concentrated on a minority of people.
Finally, regression analysis was performed by setting the demographic variables and factors identified from factor analysis as explanatory variables in order to determine the variables influencing the satisfaction with project and the increase in income which were the economic accomplishment from the implementation of comprehensive rural village development project.
The results of analysis suggested that the satisfaction with business was influenced the most by the factor of life convenience followed by the factor income source, the factor of capability reinforcement, and the factor of village scenery.
In addition, there was a statistically significant difference in demographic variables such as age, residing period, and the method of participation, and the residents with higher age and longer residing period had higher satisfaction with the comprehensive rural village development project and local residents who participated as the members of the Steering Committee had higher satisfaction with the comprehensive rural village development project than those participating as ordinary local residents.
Meanwhile, the factor of village scenery and the factor of capability reinforcement had statistical significance in relation to the factors influencing the increase in income. That result is mentioned as the problem of comprehensive rural village development project, which implies that the ability to operate the project has an important impact on the increase in income.
Besides, the participating status and farm size had the impact on the increase in income among the demographic variables.
In other words, the results of the analysis on the satisfaction with the project showed that local residents who participated as the members of the Steering Committee and those with large farm tended to be more likely to experience an increase in personal income compared to those who participated as ordinary local residents.
Next, the economic spill-over effect which was both direct and indirect economic accomplishment entailing from the comprehensive rural village development project, the public investment project, was analyzed on the basis of input-output analysis(inter-industry relationship analysis).
Based on the results of analysis, the total investment expenditure of KRW 226.245 billion in relation to the comprehensive rural village development project brought about the production inducement valued at about KRW 442.222 billion by industry, value-added inducement valued at about KRW 143,796 billion, income inducement valued at about KRW 81,121 billion, and job creation for about 3,016 people through the direct and indirect inducement effect on the nation's economy. In other words, it was found to have a great spill-over impact on the nation's economy as it created the investment inducement valued at a total of KRW 667,139 billion and jobs for a total of 3,016 people.
To stimulate the comprehensive rural village development project in the upcoming periods based on the aforesaid results of analysis, the system of operation by minority must be discontinued among others and the project protocol which incorporates the income project structure of returning the benefit of development to the minority of local residents needs to be set forth on the basis of consensus among local residents with respect to the distribution of benefits or profits from the stage of project implementation, as well as the establishment of project implementation system that can encourage the participation of local residents in the project area, before the approval of project.
Furthermore, the development based on the one-size-fits-all approach by the planning expert, which does not consider regional characteristics and opinions of local residents, must not be pursued any more.
And the budget system may need to be improved to ensure that the nurture of regional leaders capable of project implementation can be moved ahead first from the initial phase of the project.