The Development of Rural Local Communities: Institutional Determinants

The paper provides an analysis of institutional changes in rural local communities and identifies the determinants of institutional development of the modern village. It singles out the key factors that determine the trajectory of the institutional development of the agro-industrial complex: the state agrarian policy, a mixed economy, and the human capital of rural local communities. It notes an active ongoing process of modifying the economic, organizational, and production structure in agriculture. New subjects of social and economic relations: agricultural holdings, farms, agricultural cooperatives are developing, which has an impact on the evolution of transformation processes in rural local communities and in the rural economy. Changes in the composition of the subjects of socioeconomic relations lead to the transformation of mechanisms affecting institutional changes in rural local communities. The general trajectory of self-organization processes of agricultural socio-economic systems in determined by the state.