MOTIVATIONAL MECHANISMS FOR RETAINING HUMAN CAPITAL IN RURAL AREAS

Authors

  • Liudmyla Pronko cand.sc.(econ.), assoc. prof., dean of the faculty of management and law, Vinnytsia National Agrarian University

DOI:

https://doi.org/10.37332/

Keywords:

motivational mechanisms, human capital, rural areas, consolidation of human capital, standard of living, employment of the population, social infrastructure, institutional environment, local self-government, sustainable development

Abstract

Pronko L.M. MOTIVATIONAL MECHANISMS FOR RETAINING HUMAN CAPITAL IN RURAL AREAS

Purpose. The aim of the article is to substantiate the motivational mechanisms for consolidating human capital in rural areas and identify areas for increasing their effectiveness.

Methodology of research. The research methodology is based on the use of systemic, institutional and economic approaches to the analysis of motivational mechanisms for consolidating human capital in rural areas. The work uses methods of scientific abstraction, analysis and synthesis, induction and deduction to clarify the essence of motivational factors and substantiate their role in reproductive processes. Comparative, structural and functional analyses are used to generalize scientific approaches and form practical conclusions.

Findings. The study found that motivational mechanisms play a key role in consolidating human capital in rural areas and are characterized by multidimensionality, due to the interaction of economic, social and institutional incentives. It has been proven that the highest efficiency is provided by an integrated approach that combines income growth and employment stability with the development of social infrastructure and strengthening the institutional capacity of local governments. It is substantiated that the differentiation of motivational mechanisms by demographic and professional groups, primarily for young people and qualified specialists, is a necessary prerequisite for reducing migration losses and ensuring sustainable development of rural areas.

Originality. Scientific provisions on the formation of motivational mechanisms for consolidating human capital in rural areas as a multidimensional system formed as a result of the interaction of economic, social, and institutional incentives within the framework of an integrated development policy have been further developed. Such a system involves a coordinated combination of increasing incomes and employment stability with the development of social infrastructure and strengthening the institutional capacity of local governments as key factors in the long-term motivation of the population.

Practical value. The obtained conclusions and recommendations can be used in the activities of state authorities and local governments in the development and implementation of programs for the development of rural areas and human capital. The proposed approaches to the formation and differentiation of motivational mechanisms can be applied to improve employment tools, support for youth and attract qualified specialists to rural areas. The results of the study can also be used in the educational process of higher education institutions and in analytical activities when assessing the effectiveness of social and economic policies for the development of rural areas.

Key words: motivational mechanisms, human capital, rural areas, consolidation of human capital, standard of living, employment of the population, social infrastructure, institutional environment, local self-government, sustainable development.

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Published

2025-12-26

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How to Cite

“MOTIVATIONAL MECHANISMS FOR RETAINING HUMAN CAPITAL IN RURAL AREAS”. INNOVATIVE ECONOMY, no. 4, Dec. 2025, pp. 43-50, https://doi.org/10.37332/.