Regulation of income distribution in agriculture under conditions of alternative capital investment

Issue № 9, 2026, article № 5, pages 37-42

Section: Economic mechanism of managing

Language: Russian

Original language title: РЕГУЛИРОВАНИЕ РАСПРЕДЕЛЕНИЯ ДОХОДА В ЗЕМЛЕДЕЛИИ В УСЛОВИЯХ АЛЬТЕРНАТИВНОГО ВЛОЖЕНИЯ КАПИТАЛА

Keywords: CLASSIFICATION OF SUBJECTS OF LAND RELATIONS, INCOME AND MARKET APPROACH IN THE DISTRIBUTION OF PROFIT OF A COMMODITY PRODUCER, ENTREPRENEURS PROFIT, LAND RENT, PRODUCTION CONDITIONS

Abstract: The classification of subjects of land relations is carried out based on their role in assigning a certain part of income in agriculture. The peculiarity of land rent formation in agriculture is noted. The main economic difference between modern agriculture and industry lies in the formation of the rate of return on invested productive capital in the worst production conditions, rather than in average ones, which leads to the formation of land rents. This scientific statement is the basis for determining the amount of land rent by an income approach. The market approach to assessing income distribution in agriculture assumes that in the modern economy, land rent is also determined by the income of the landowner from renting it out, if other factors of production are not involved in the formation of rent. The calculations of the entrepreneur's profit and land rent have been carried out using these methodological approaches at the level of administrative entities in the country, which are classified into three categories according to production conditions: the best, average and worst. The economic calculation of the entrepreneur's profit and land rent indicates the high reliability of the results obtained by these approaches. This fact indicates the possibility of assessing the distribution of income and profit of a commodity producer between subjects of land relations not only at the level of state and municipal entities, but also producers in the presence of appropriate reporting organizations and market indicators. Instruments for regulating income distribution in agriculture are proposed, where priority is given to the entrepreneur rather than the landowner.

Authors: Polunin Gennadii Andreevich