Program Area 12:
Individual, Family and Community
Economic Development
Statement of Issue
The well-being of rural people and areas in North Carolina remains
uncertain. Restructuring of jobs and industries, changes in the age, gender,
and racial/ethnic composition of local populations, the devolution of government
programs, and changes in how land and other natural resources are used
and by whom all affect rural people and communities in North Carolina.
Despite growth in the high-tech urban areas, rural North Carolina lags
behind. Poverty persists, and its effects are exacerbated by shrinking
budgets for public goods and services at the same time that demand grows.
Rising awareness of the environmental consequences of new technologies
increases demands on rural localities for social, economic and environmental
impact assessment. The distinct needs of growing and culturally diverse
populations in North Carolina, including the elderly, will create challenges
as well as opportunities. At the same time, there is a growing commitment
to enhance the quality of life and economic viability of rural families
and communities. These trends and changes have a profound impact on rural
community structure and organization, on community sustainability, and
on quality of life.
Continuing long-term trends, our rural areas lag urban areas in levels
of earnings and income, have lower high school graduation rates, exhibit
more poverty, have higher rates of infant mortality, unemployment and stress
and, in some cases, the gap may be widening. Most population growth within
the state is in urban areas. Within rural areas, disproportionate shares
of minorities remain economically disadvantaged, although some signs of
improving socioeconomic conditions are beginning to appear. According to
most indicators, economic disadvantage is especially pronounced in rural
areas with large concentrations of minority population.
Increasingly, local affairs are influenced by state, national,
and global circumstances and policies. Cyclical changes in the economy
at the state, national and global levels creates uncertainty as to whether
local efforts can respond to change. At the same time, long-term economic
trends which encourage consolidation and integration of industries have
effected rural North Carolina. Maintaining an effective international competitive
position for food and fiber produced in the state, especially as new policies
and decisions on international trade emerge, is becoming more difficult.
Technological advances in communication and transportation have made rural
communities more susceptible to national and global changes. And this is
further exacerbated by an increasingly complex web of state, national,
and international laws and regulations that affect local businesses and
communities.
Recent declines in rates of employment and population
growth point to a possible slowdown in the favorable economic conditions
prevailing in rural areas of North Carolina during much of the current
decade. Employment growth in rural areas has dropped below the rate for
urban areas in recent years. Further, this decrease in rural employment
growth extends across the state, signaling the continuing shift in economic
activity toward our urban areas. However, falling unemployment levels,
growing per capita incomes, and rising weekly earnings for rural workers
in North Carolina indicate the continuation of a positive economic climate.
Nevertheless, challenges remain considerable in many rural counties, cities,
and towns of the state. Economic shifts are forcing many manufacturing
firms to close or depart for overseas locations. Those persons without
a post-high school education, or lacking relevant job training, are finding
it more difficult to find jobs paying decent wages. And, larger numbers
of employers are seeking workers with problem-solving and technology-related
skills. Much greater attention will need to be given the workforces of
rural areas and to devise strategies that will position them to be full
partners in a global, complex economy. Rural workers need improved understanding
of their employment options and their training and education opportunities.
Performance Goals
1. Improve domestic and international market potential.
2. Develop new strategies for rural development.
3. Advance understanding of factors that improve individual,
family, and community economic and social viability.
4. Become a resource for social, economic, and environmental
impact analysis.
Key program components
Research projects will focus on:
Ø strategies individuals,
families, farms and communities use to respond to global rural restructuring;
Ø improved methods to
measure real consumer prices, wages and business cycles;
Ø factors contributing
to racial earnings inequalities;
Ø agricultural policy
related to quotas, price supports and marketing boards;
Ø demographic and
socioeconomic factors related to rural economic development;
Ø factors that
influence youth development and career aspirations, agricultural injury
and substance abuse; and
Ø changes in the organization
of local labor markets.
Output indicators:
Ø Greater understanding
of the impact of family interaction patterns, information acquisition,
and resource management practices on individual and family economic social
viability.
Ø Strategies for
economic diversification, entrepreneurship, and job creation.
Ø Enhanced understanding
of the factors that influence the state’s competitiveness within traditional
and emerging markets.
Ø Increased awareness
of employment requirements and opportunities and education and training
possibilities.
Ø Methodologies for
social, economic and environmental impacts.
Outcome indicators:
Ø Increased trade
and sustained farm income (or favorable changes in farm income and well-being).
Ø Economically improved
communities.
Ø Increases in economic,
human, environmental social capital.
Ø Increased youth
and service agencies participation in career development programs.
Internal and External Linkages
Multi-State:
Regional Rural Restructuring Project S-276 (NC, AL, GA,
IA, KY, LA, MI, OH, SC, TX, WI, Puerto Rico)
Regional Commodities, Consumers and Communities Project
NE-185 (NC, KS, MI, MD, WV, WI, CA, NJ, MO, IA, WA, NY, PA and NGOs)
Regional Rural Labor Markets Project S-259 (NC, OH, LA,
MD, AL, IA, Puerto Rico SC, MI, KS, WV, AR, TN, MS, GA, USDA-ERS, non-profits
and other NGOs)
Regional Rural Economic Development Project NE-162 (NC,
AZ, CA, DE, GA, IN, KY, MI, MO, NV, NH, NY, OH, OR, PA, SC, UT, TX, VA,
WA, WI, WY)
Multi-Institutional: