Creating a system of agricultural cooperation as a mechanism of legalization of the latent economics in the agricultural sector

The characteristic feature of the modern development of the agricultural sector is the dominance in the volume structure of production of small-scale farming. Due to imperfection of the market institutions this process is accompanied by an increase of the informal economics share. The unrecorded economics in the agricultural sector of depressed regions, such as the Kalmyk Republic, produces the social stratification, leads to quality degradation of the environment, and is the factor of criminalization of the regions. The article has defined that the use of repressive mechanisms of legalization to this type of latent economics is ineffective. Based on the analysis of the international and regional practices the rehabilitation and development of the rural cooperation system has been proposed.

unrecorded economics, agriculture, small commodity production, economic efficiency, mechanism, economic policy, livestock breeding, revenue, interests, quality indicators, dynamics