Research Reports from the Department of Operations

Document Type

Report

Publication Date

2-1-1982

Abstract

The decline of agriculture's relative share in national economies and the associated rural-to-urban migration present critical challenges for developing countries. Excessive urbanization and the economic weakening of rural areas have prompted policies aimed at diversifying rural employment through industrialization. This paper develops and empirically applies a methodology for selecting industrial plants suited to rural communities, with a specific focus on collective rural settlements (kibbutzim) in Israel. The analysis highlights unique factors influencing rural industrialization in Israel, including the dispersion of the population, resource limitations, and the socioeconomic dynamics of kibbutzim. Advantages such as technological interest, higher education aspirations, and community ownership support industrialization. However, challenges persist, particularly regarding small-scale operations and labor constraints. While grounded in Israel’s context, the findings offer insights for policymakers and rural analysts in other nations facing similar issues of rural development and industrialization.

Keywords

Operations research, Rural industries--Israel, Rural development--Israel, Industrialization--Israel, Kibbutzim--Economic aspects, Population policy

Publication Title

Technical Memorandums from the Department of Operations, School of Management, Case Western Reserve University

Issue

Technical memorandum no. 504

Rights

This work is in the public domain and may be freely downloaded for personal or academic use

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