ERIC Number: ED224626
Record Type: RIE
Publication Date: 1981-Jun
Reference Count: 0
Economic Planning for Multicounty Rural Areas: Application of a Linear Programming Model in Northwest Arkansas. Technical Bulletin No. 1653.
Williams, Daniel G.
Planners in multicounty rural areas can use the Rural Development, Activity Analysis Planning (RDAAP) model to try to influence the optimal growth of their areas among different general economic goals. The model implies that best industries for rural areas have: high proportion of imported inputs; low transportation costs; high value added/output ratio and value added/labor ratio; low percentage of labor skill that is most scarce; and low capital/output ratio. The model likewise suggests that conversion of agricultural land from the land use pattern of lower income farms to that of higher income farms is always desirable in a region. The linear programming model was specifically applied, in this report, to a region of northwest Arkansas comprising Benton, Madison, and Washington Counties (BMW region). Alternative objectives included the following: regional balance-of-trade surplus, regional balance-of-payments surplus, gross regional product, local value added, and a regional rate-of-return index. Data were obtained for 1960-70 to compare growth of employment by industry in the model with the actual growth in the area. Because a portion of the BMW region has recently been designated a Standard Metropolitan Statistical Area (SMSA), this study can provide a vehicle for examining how an area might be developed optimally from a rural to a more urban status. (AH)
Publication Type: Reports - Descriptive
Education Level: N/A
Authoring Institution: Economics, Statistics, and Cooperatives Service (USDA), Washington, DC.
Identifiers: Arkansas; Rural Development Activity Analysis Planning