Economy

Rural industrialization has been greatly discussed by researchers in recent studies of rural planning and development. It is due to its positive effects of economic, social and infrastructural factors. Moreover, researches are looking for ways to analyzed approaches to reduce harmful environmental impacts of industrial projects, as destructive life factors of geographical territory, in rural areas. For example, according to Misra and Chyvta (1990); rural industrialization and the prevalence of non-agricultural activities can seriously affect the increase of social welfare and providing essential goods and services for rural households. Experiences by several countries prove the fact that every structural change that happens because of industrialization, not only has an important economic role in rural areas, but also led to self-repulsive economy, as well. In addition to studying positive economic, social and physical aspects, it is needed to do some preparatory studies on negative eco-environmental effects of rural industrialization for proper siting of such industries to reduce its harmful eco-environmental and human effects and improve spatial planning.

This study is an analytical explanation using library and field study. Field data have been collected by questionnaires after the identification of variables. Then, the required data have been collected in the intended study area. Samples have been managed in two different social levels: 36 people from local experts (Council and village head assistants) using census method for ICOLD matrices, and 295 individuals from the head of the households selected among local people of villages to assess eco-environmental effects of using Prometea multivariate technique in villages by the use of Cochran formula of Alpha= 0.05. The already designed questionnaires have been modified in ICOLD matrices covering several factors of physio-chemical, biological, socio-economic, and cultural infrastructure environments that include 41sub criteria, totally. Collected data have been finally analyzed by ICOLD environmental assessment method and Promote multivariate techniques.

Discussion and conclusion
One of the new challenges facing rural planning when it is getting applied, is the presence of two viewpoints: environmentalism, and rural industrialization. Villages are accumulation points of environmental resources that, according to the theory of Sustainable Development, it is essential to protect them. In addition, we aim at diversifying economic sector by supporting rural industrial projects. Integration of the two approaches needs the evaluation of environmental effects of industrial activities to help moderate the intensity of environmental effects of industrial projects in rural areas. In this research, we are intended to study industrial mining extractive project of Zanjan cement factory, located and operated in a rural district, to analyze its eco-environmental effects on rural areas. Results from ICOLD demonstrates that its eco-environmental effects vary by distance, i.e., the nearer the villages are, the more they will be threatened by these effects, or vice versa.
Results from promote technic confirm the same. Since, villages in disturbed areas within the distance of less than 5 kilometers from the factory or less than 1 kilometer from the communication route to raw stone mining site, show the highest level of eco-environmental instability. These villages include; Majid Abad (rated at 81%), Zarand (rated as 73%) and Mazidabad (rated at 67%), respectively. These villages are close to the factory and to the passage of vehicles carrying raw stone. Much of the physical area of the factory is located in agricultural land of two villages of Majid Abad and Mazidabad. Moreover, wind direction of the area mostly causes much of the pollution from factory dust distributes in other agricultural areas of MajidAbad. Another village which its eco-environment has been recently affected is Zarand, located in a foothill area near to the raw stone mining site. Dust from loading raw stones, noise pollution caused by the breakage of the rock, animals and wildlife breaking out of the area, and destruction of crops and plants are among the major environmental damage in this area. Thus, we suggest to reduce environmental pollution from factories in rural areas by reviewing some ways of factory activities such as transportation of raw materials, methods used for the extraction of raw stones, development of appropriate transport infrastructures, installation of air pollution controlling systems, increase in the plantation of more green spaces within the margins of the factory, good management of wastewater and their disposal system.

In Iran, management system of rural areas was kind of non-governmental before the Constitutional Revolution. In such a system, Khans and masters; the village chief and elders were responsible for the village and its affairs. In 1354, by the progress of land reform programs and the elimination of feudal serf system from social communication system, the village chief was removed from the Rural Management System and rural councils were replaced by. After Islamic Revolution, important measures done in the field of construction, especially, rural management. Some examples of such measures are; the amendment of Islamic Councils, the foundation of the House of companion, and the construction of rural development office. Rural Islamic councils play important roles in the process of people's participation in promoting rural developments. Rural councils and municipalities, as cooperative and public institutions, are considered to be communication bonding between people and institutions with administration staff of the government. So, they carry a key role in the process of rural development.

Thus, people's satisfaction with the performance of rural municipalities plays a decisive role in the success of such institutions and achieving their goals. The more satisfied villages are with the performance of rural municipalities, the more confident they will do their citizen responsibilities in the process of implementation and monitoring of civil public programs. In this research, the socio-economic performance of Fahlian rural municipality, of the central part of Mamasani County, has been analyzed based on surveys of villagers through questionnaires. The present research aims at appraising villagers' satisfaction with the performance of Fahlian rural municipality applying Kano model to make three categories of the villagers' basic needs come true. The intended needs are; economic, functional and emotional ones. We are going to use the results from the research to obtain an accurate picture of the satisfaction of rural population with the performance of rural municipalities to help us improve rural services and enhance villagers' satisfaction.

This study is a combination of analytical survey method based on questionnaires, in which the most important areas associated with villagers' satisfaction of the village municipality in Fahlian is being tested. Considering the goals of the research, it is an applied one. The statistical society of the research includes all the rural residents in Fahlian. In order to determine the sample size, we have first used Cochran-Sharp methods. Using this formula, the sample size was calculated140 people from the entire 2177 inhabitants of the village. Then, questionnaires were completed using simple random sampling method.

Cronbach's alpha coefficient was calculated 0.809 for the whole questionnaire. Totally, the validity and reliability of the statements and questionnaire have been in a good level. They have also reported to be reliable for research fields and obtaining the views of the sample. For preparing questionnaires like those in the Kano model, two questions are needed to design for each feature. The questionnaires are classified in two categories. The first category questionnaires are functional and the second ones are non-functional ones. To design this section a five-point Likert- type scale was used. Although there are different models for evaluating the quality of services, it is hard to compromise on the ways to identify factors affecting this. Some of these models involve hysteresis, Kano, Seroquel, QFC, and etc. In this study, Kano model was used as a measuring tool of people satisfaction.

Discussion and conclusion
In Iran, contemporary rural management was affected by major changes. Each of these changes have had a significant impact on the fate and success of Iran Rural Development. Creation of rural municipalities in villages is the last link in the chain. Of course, it does not include all the villages, yet. Objectives and responsibilities outlined in the by-law of rural municipalities, whose most prominent characteristic is their mediating role among local communities and state institutions, seems to be greater than their power and human, financial and material capacities available to them. According to the data collected from Surveys of Fahlian residents to know if they are satisfied with socio-economic performance of their rural municipality using Kano model, it was realized that based on villagers perspectives asphalt and table investment streets are among their most prominent needs while Fahlian rural municipality was doing its best for waste collection and disposal. Also, they were largely making efforts to pave the way for the formation of cooperatives of production and consumption.
Thus, the maximum level of villagers' satisfaction and their dissatisfaction with the performance of the rural municipality was reported to be 0.413 and -0.747, respectively. Results from the questionnaires and their analysis using Kano model indicate that villagers' emotional needs have been better provided than their other needs. The coefficient for their emotional needs was 0.611 which is more than the coefficient obtained for the two other needs of basic and functional ones by the coefficient of 0.425 and 0.523, respectively. Consequently, the village staff and authorities, especially those in rural municipality, must largely focus on providing villagers with their basic and functional needs. In this way, they are needed to improve and mobilize transporting system as well as the improvement of communicating systems like telephone and internet to help them attract more tourists and investors.
For functional needs, they have partly acted successfully in making security measures for the attraction of tourists and investors. Studies demonstrate that rural municipalities will be able to eliminate a great part of villagers' dissatisfaction and make them satisfied if they apply the results from this study in making decisions for rural development and improvement.

The idea of "ignoring economic labor" of rural women and their role in providing households' financial and non-financial resources is deeply ingrained in cultural fabric of our society that is hardly possible to change the notion of "men being sole breadwinners". The rate of women participation in the employment and labor market is much less than men. This is due to the presence of social, legal, and economic barriers and cultural and traditional restrictions. In Iran, the main activities of rural women can be summarized in three sectors; agriculture, rural industries and rural services. Currently, according to the information contained in the (2011-2012) 1390 Statistical Yearbook, 14987out of 37 958 people, as the population of 10 years and more in the County of Varzeghan, constitute the employed active population. It makes a portion of 13098 for rural areas. The share of female population employed in agriculture, forestry and fishing in the province has reported to be 26116 people within which the overall share of the total population of Varzeghan has been 8280.

Although rural women are not counted in agriculture sector, many women of the County are participating in this sector. While rural women try alongside men in agriculture, because of certain traditional beliefs and public imagination there are always barriers for rural women's participation in the labor market. Considering the importance of this issue, this article aims at answering the questions that "what is the main obstacle facing the employment of rural women in Varzeghan County?" and "What is the impact of other effective barriers on the employment?"

Methodology
We have used mixed method approaches in the article. Since the sequence of qualitative and quantitative research methods is known as one of the features of mixed research, we have used first the qualitative and then the quantitative ones. In the first stage, in order to identify different causal conditions, as factors affecting the low participation of rural women in the workforce, a qualitative method was used in which we have interviewed with literate women. Then, to achieve the desired result in the second stage, qualitative research findings were used in developing the questionnaire, whereas obtained quantitative data were used to provide a structural model. The questionnaires were completed by literate girls and women livelihood in rural district of Sina. Using Cochran formula, sample size was calculated to be 300 people, with the confidence interval of 0.95. A simple random sampling method was used and the questionnaires were formulated by a number of 15 closing questions that their options were assessed based on rating Likert scale. Its validity was estimated based on its formal validity and its reliability was calculated 0.919 by Cronbach's alpha which indicates that the questionnaires are highly reliable. Table 3 shows the output of SPSS software.
Discussion and conclusion
Considering the development of different societies and urban areas along with the development of rural societies, rural girls and women are no longer interested in participating in agricultural sector. Instead, they are getting to the employment of nonagricultural manufacturing jobs as well as government and service ones. Casual barriers affecting the employment of rural women in the area under study can be classified in four groups of individual, family, socio-cultural, and management-structural barriers. These are multiple-effect barriers which are related to each other. Being remote as a variable for villages and individual and family factors are of the highest importance. Given the casual barriers of the phenomenon, lifestyle changes are evident in the rural community.
The main reason of most villagers' migration is to find appropriate non-agricultural jobs. Among them, there are some migrant girls that not only have they achieve their goals of employment in urban communities but also there is not enough attraction in their ancestral home of insufficient facilities to make them return. Variables such as education, marital status and income level are commonly considered as intervening obstacles facing the employment of rural women. It is certain that changes in social customs, values and traditions as well as lifestyle changes can make rural women have less or no tendency to live in rural areas and move to cities. Changes in lifestyle, family system, and social customs and values are all strategies taken by rural community to minimize the effect of barriers affecting the employment of girls and women. Of course, these strategies have their special consequences. They may cause late marriage or the rise of average marriage age which are effective in the creation of social and moral corruption in the society.
Rural to urban migration can lead to economic poverty which is by itself one of the most important factors causing corruption in the society. Changes in social customs and values can also lead to reluctance to agricultural activities which is due to familiarity with urban life. A combination of factors like these cause inappropriate behaviors b rural girls and women.

Todays, the importance of agricultural development and putting more value on it, unlike past days, is concluded from the fact that in the process of economic development program, an increasing attention is given to social welfare goals in addition to other goals of increasing revenue. In every society, at times of population increase, the increase of agricultural products, which is in direct relation with the rate of population increase, requires an increase of the productivity in existing lands relying on the improvement of farming techniques and irrigation systems. Basically, agricultural development means a transition of traditional techniques to modern industrial ways of production which includes top modern agricultural techniques like planting and harvest methods and the use of agricultural machinery. Agricultural mechanization is a new approach of providing the situation of promoting from traditional to modern agriculture. Additionally, it is considered as the most useful factor to help us achieve our goals of rural development. Machinery technology development is a matter of great importance in rural development strategies. Using technology in the process of rural development can lead to the elimination of barriers to production. As mechanization causes less difficulties and more money from agricultural activities, it makes farming more fascinating for villagers and stimulate them to continue their farming activities and prevent them continuously move to the cities. In this research, we are investigating possible consequences of mechanization and its effect on rural development of south Astarābād to find answers to the following questions:

This is an applied research which has been done using descriptive- analytical approach in a field study. For data analysis and interpretation, independent T test, Mann Whitney test, and the process of correlation analysis have been applied in SPSS software. Statistical population of the research consists of two types of agricultural households, a group of more mechanized households and another group of less mechanized ones, from 22 villages located in rural district of South Astarābād. A number of 10 villages (including 6 plain villages and 9 mountain villages) were chosen as sample society based on the total number of 6423 households and homogeneity of the villages in terms of geographical features. Using Cochran formula, the sample size of the society (190 households) was determined. Considering the population of each village, their participation in answering the questionnaires was determined. Questionnaires were delivered among different households in a simple random sampling way.

Discussion and conclusion
By its effect on timely agricultural operations and reducing production costs, agricultural mechanization plays an effective role in increasing revenues and consequently improving economic level and quality of life for agricultural uses. According to the results from the questionnaires a significant relation of a top confidence level (95 or 99%) is confirmed between agricultural mechanization with productivity and improvement of economic and social components. In this regard, the government plays a key role in the development of mechanization infrastructures such as integration, leveling, land drainage, giving low-interest loans and making decisions for agricultural institutions. Considering the fact that lower participation and self-help of operators and lack of education and awareness of the benefits of mechanization are the most important factors affecting the failure of the government and people in promoting mechanization, an overall management and programming by the government is inevitable to help us achieve our goals. The followings are suggested for the improvement of mechanization.

- Strong support of the government for infrastructure development of agricultural mechanization such as land consolidation, irrigation channels, land leveling and drainage, irrigation development, and construction of roads between farms;
- Reducing official bureaucracy and granting low-interest loans by banks to promote agricultural mechanization;
- Holding training and educational coursed for the introduction of proper use of machineries and their technology to the farmers.

After land reform, some actions have been done for rural finance by creating financial institutions such as credit cooperatives, Agriculture Bank and interest-free loan funds which were not successful in improving poor people livelihood. The studied area in this study includes a forest-mountain area that have small and sporadic villages and they are far from rural-urban continuum. In fact, these areas face with basic shortcomings because of their location in geographical isolation, lack of development of market, scattered villages, low population density and unavailability of services (including financial services). Researchers' preliminary studies in this area showed that in financial markets of the forest-mountain villages in Bandpey part of Babol county, for rural finance to meet their needs in micro level, include just officialpublic institutions and semipublic ones (agriculture Bank, credit cooperatives and Imam Khomeini Relief Foundation) that were not operating as rural financial institutions, so in the studied area this question is raised that in spite of the availability of financial institutions, why the level of financing services is low for villagers? Or in other words, why the available financial institutions could not be successful in attracting villagers? Therefore, the question is that what are the characteristics of financial institution for being successful in presenting financial services? This study aims to recognize optimality criteria in institutions that offer financial services in rural districts and tries to present a framework in rural financial institutionalization to help rural managers and development planners in rural financial domain such as Agriculture Bank, rural financial cooperatives, Imam Khomeini Relief Foundation and rural interest-free loan funds.

Ito consider the subject, a qualitative approach has been chosen in this study. So, 25 villagers that are residents of forest-mountain villages of eastern Bandpey in the county have been selected in a purposeful way; data collection has been done through in-depth semi-structured interviews to the theoretical saturation point. Following that, for more clarification and conducting in-depth interview, some follow-up and exploratory questions have been used. After each interview, all the statements were written on the paper. The obtained data from interviews were analyzed by using qualitative content analysis method (by the framework of an inductive approach). To increase the creditability and acceptability of data, these methods have been used: simultaneous data analysis, continuous observation, review by supervisors and selecting the main informants; accuracy and authenticity of data (stability) have been considered too, regarding these indicators: maximum number of participants, desirable relation with participants, accuracy in recording data, using external researchers and supervisors, long time engagement with research and obtained data.

Discussion and Conclusion
On the major subject that is extracted is "flexibility". On the major subject that is extracted is "flexibility". Flexibility of rural financial institution means the flexibility in time duration for loan repayment that does not interfere with planting season and the time that farmers and ranchers should spend money for their works. The results show that when the time of loan repayment interfere with the time that small farmers do not have cash money, this leads to excluding some people from taking credits and more than that those who were able to take the credit, could not gain enough profit. Availability is a criterion in rural space that have low level of livelihood, in faraway geographical location is of great importance. In one hand, availability means physical availability. This criterion can be understandable when rural forest-mountain area is understandable. These areas face with problems because of dispersion of villages and their distance from urban area to receive services including financial services. In another way, lack of finance leads to irresponsibility. Considering the findings showed that if rural financial institutions were dependent to government subsidies, offering credits to meet villagers' needs would be uncertain all the time. Another criterion, a sub-dimension of availability, is "having responsibility regarding to the conditions that farmers face with a social-economic problem". In one hand, small farmers and ranchers' livelihood is always exposed to natural, social and economic crisis (especially in forest-mountain regions), and in another hand, their week financial support make villagers vulnerable to these kind of dangers. The obtained results showed that optimality of a rural financial institution is related to offering services in all dimensions of financial services especially loan, saving and insurance. Therefore, one the most important issues for optimality of the rural financial institutions is the capacity of saving for small farmers and ranchers; they have high desire for saving. Official financial institutions and semi-official ones could not support this dimension of villagers' need with a commercial approach. According to the findings, villagers do not consider financial institutions as merely a monetary institution; they expect an appropriate financial institution not only offer monetary services, but also they expect them offer social services that need investment, or assignment of subsidies on their necessary products for their agriculture. The study findings showed that the assigned small loan is a loan for agriculture not for the farmer, and it rarely considers the need of the villagers for consumption. It is suggested that researchers on institutional issues and service institution in rural districts consider these issues in the time of occurrence and with direct observations and interviews; they should familiarize with their challenges and by a topdown and bottom-up approach, they can present a suitable strategy for the same areas to overcome their problems.

In this world, villages have turned to a be a place for those people who escape from urban life and machinated life and so people travel to villages to rest. Regarding to the range of demands and necessities of rural environments in these days, rural tourism is developing and its importance and appealing is increasing. In the process of regional planning, rural tourism can be considered as a tool for increasing the local occupation and improving the quality of life and as a result increasing the level of economic welfare and social facilities. Handicrafts in rural regions is a complement factor for agricultural economy. Because of potential job creation opportunities and also earning money, while handicrafts can fill villagers' free time and eliminate unemployment, it can prevent seasonal or permanent migrations that is considered as one of the social harms. This study tries to answer two questions about foothill villages in Behshar County which are very potential at creating and producing handicrafts: First of all, what is the role of growing and developing handicrafts in rural tourism economy? And secondly, regarding the role of handicrafts in tourism economy what villages are at the top respectively?

Methodology used in this study is descriptive and analytic-survey. Data collection has been done by documentary and field study using Likert Scale questionnaires. Data collection has been done by documentary and field study using Likert Scale questionnaires. Statistical population includes 18 foothill villages of Behshahr County; their geographical location and demographic features are shown in figure 2 and table 1. Handicraft products in these villages include wood craving, sculptor, felting, wrapper weaving, carpet weaving, basket weaving, and based on Cochran Formula, 249 householders were chosen as sample size and they were classified randomly. For data analysis, One Sample T Test, Chi- Square, and deviation from optimum have been used. To evaluate validity and stability of the questionnaires by Cronbach's Coefficient Alfa, the results of 25 questionnaires have been tested; the calculated Alfa is 0.89. To obtain validity of the 249 questionnaires, KMO Test and Bartlett's Test have been used; the obtained number is 0.8 that suggests a desirable validity.

Discussion and Conclusion
Tourism and tourism economy have turned to one of the major business principle of world. Beside tourism that has an effective role in national development and diversification of national and regional economy, handicrafts can be a complement for some historical and tourism attractions. Tourism is one of the most important activities; in recent decades tourism has a special place in economic development in some countries. This industry creates income, foreign exchange, job and also it exchanges culture, and more than that it has assigned a share in economic activities of the world including exports. Results show that handicrafts have a role in development of rural tourism economy in Behshahr that is more than the average level. In foothill villages of  Behshahr county, among all the villages, Koa village with number 2.59 has the least impact regarding the following indicators: attracting native and non-native tourists, improving the level of earning income for tourism activists, developing the sustainable capacities, attracting cultural tourists, developing and improving tourism attractions and setting up exhibitions for developing handicrafts. Kiasar village with the number 4.76, and having the first grade, has the most impact regarding the mentioned indicators.

According to the new definitions of regionalism, poverty reduction depends on the activation and promotion of local human and natural capacities in order to improve sustainable livelihoods and reduce rural and urban poverty. One of the deprived and poor places of the country is Kuhdasht County in Lorestan Province. according to the latest census of the Statistics Center, the population of Kuhdasht County is 166,658, 64,373 of which live in rural areas and 102,285 in urban areas. Considering unemployment as one of the indicators of poverty, its rate in Kuhdasht County in 2016 was 16 percent, which is higher than the national average. This unemployment rate is visible in urban and rural areas of the county.  Also, the net migration rate of this county is more than 600 people. The main purpose of this study is to evaluate the factors affecting poverty reduction with emphasis on new indicators of regionalism in Kuhdasht. This study seeks to identify and analyze the impact of factors affecting poverty reduction in Kuhdasht County, for which statistical and structural analysis is used.
 

Introduction
Increase in unemployment rate, along with growing resource depletion, is one of the economic-cultural challenges of many developing countries, including Iran. These problems are more deep and complex in rural areas. In other words, our society has been suffering from a lack of production for many years, and consequently, a high unemployment rate in rural areas, which has led to an increase in the rate of migration from rural to urban areas. Thus, in order to provide mutual financial support to small and medium-sized businesses with the priority of creating employment in rural and less privileged areas, it was licensed as a non-governmental public institution. The fund, as a support leverage of public governance, provides financial support to skilled individuals, females heads of households, villagers, elites and entrepreneurs in the form of creating a market-oriented micro-business in the form of “synergistic networking” with strategies for attracting public participation through the creation and development of local micro-funds, the development of charitable partnerships and the use of the capacity and economic benefits of the country in the development of micro and household industries with the priority of rural areas.
How to finance and invest by public and private groups, individual or group borrowers will be important and fundamental issues that play a decisive role in the success of the operation of micro-financial institutions because credit limits and how to provide collateral by borrowers and finance the institutions is one of the issues that play an important role in the success of these institutions. The more these institutions have a well-codified and well-planned program to overcome these limitations, the higher their success rate. This leads to the growth and development of rural areas. Finally, sustainable development will be accompanied by an increase in investment, production, employment, income, reducing the unemployment rate, equitable distribution of income, and etc. For this reason, the role of financing micro, small, medium businesses in Omid Entrepreneurship Fund as an organization for providing financial services, and examining how it affects the investment functions of this sector is of great importance in the issue of creating employment in rural areas and preventing migration to cities. Therefore, this study seeks to ask whether the financial services of Omid Entrepreneurship Fund have a positive effect on investment and employment functions in rural areas?

Methodology
The present article is descriptive-analytical in terms of purpose, application method, and conducted with econometric method. Its statistical population includes all small and medium workshops located in urban and rural parts of the country, which had less than fifty employees at the time of sampling. Also, the required information and data have been extracted through the library and field methods. Data related to SME financing discussion have been extracted and used from Omid Entrepreneurship Fund statistics system, as well as data related to value-added variables, number of employees, annual and per capita service compensation costs, investment value, in addition to statistics related to the ICT section, the two-digit ISIC classification codes was collected from the Statistics Center of Iran. Adding to these, the price adjustment rate was provided from the Central Bank of the Islamic Republic of Iran. International Standard Classification of All Economic Activities (ISIC) consists of a coherent and uniform structure for the classification of economic activities based on a set of internationally agreed concepts, definitions, principles and rules of classification. This classification provides a comprehensive framework within which economic data can be collected and reported in a format designed for the purposes of economic analysis, decision-making, and policy-making. The classification structure provides a standard format for organizing detailed information about the state of a country's economy according to economic principles and awareness.

Discussion and conclusion
The value added of small and medium businesses has an upward trend from 2008 to 2014 and only in 2015 due to inflation and other fluctuations in the commodity market has decreased. In other words, it can be said that in all the study years, the value added trend has been an upward trend and only in the last year, due to the weakening of the power of small and medium enterprises, they have had a decreasing value added. Value added in 2008 started with 34.870 billion Rials and by 2014 has almost tripled to 92.292 billion Rials and decreased in 2015 to 84.913 billion Rials. The value of investment in small and medium enterprises, such as the value added of this sector, has increased until 2014, but has decreased in 2015. In fact, investment in small and medium enterprises in 2008 has increased from 6.421 billion Rials to 13.589 billion Rials in 2014, i.e., more than double the increase. but in 1394 this figure decreased to 11.336 billion Rials with a declining trend. One of the reasons for this is the effect of high inflation and reduced activity in small and medium enterprises due to the lack of profitability obtained from this type of economic activity. Given the results of the estimated models, it is concluded that the coefficients and parameters of the model, have a logical relationship with job creation in rural areas, despite being significant at an acceptable level. Thus, the variable coefficient of capital price has a negative relationship with employment in this sector. The price of capital, investment in this sector has increased, which leads to an increase in production, hence growth rural employment, which is a positive relationship for production or value added and labor wages in this sector. This will lead to increase in production or value added and labor wages, employment in villages.  As a matter of fact, the amount of employment elasticity in rural areas is 0.83% regarding production or value added, which means that with an increase of 1% value added, employment in this sector increases by 0.83%. This elasticity (elasticity of labor force employment) for compensation of labor force services and the price of capital is 0.15 and 0.07 percent, respectively. That is, in exchange for one percent increase in the compensating cost for labor services, employment increases by 0.15 percent, and in exchange for one percent reduction in interest rates, 0.07 percent employment increases.