Efficiency of agricultural subsidies in Kazakhstan

Abstract

Relevance. The efficiency of budget expenditures can be considered on the basis of achievement of a socially significant planned result. We have a question which result should be recognized as the target one. The efficiency of subsidies is embodied in the efficiency of the activity of producers in agriculture. In turn, the efficiency of producers' activity is expressed through factor productivity. The issue of correlation of subsidies with the dynamics of factor productivity needs more detailed elaboration, which determines the relevance of the work. The object of the research is the agricultural subsidy system. The subject of the research is the economic efficiency of agricultural subsidies in Kazakhstan.Methods. The author applies economic and statistical analysis to study the time series on the economic efficiency of subsidies in Kazakhstan. The survey uses comparative analysis to compare the economic efficiency of subsidizing agriculture in Kazakhstan and Russia. System analysis serves to determine the factors influencing the dynamics of the main indicators of agricultural development in Kazakhstan and Russia.Results. In order to assess the economic efficiency of agricultural subsidies, the study proposes to correlate subsidies with the dynamics of output, productivity of individual factors. The work reveals that subsidies do not create the conditions under which many agricultural producers would consciously move to innovative and environmentally friendly technologies.