Impact Analysis of Economic Contribution of Rural Petty Haats in Rural Economy of Uttar Pradesh, India

DOI- https://doi.org/10.5281/zenodo.21923329

Abstract

Rural Petty Haats are important decentralized rural market institutions that facilitate agricultural marketing, employment generation, local trade, and livelihood development. However, limited empirical research has examined their overall economic contribution to rural economic transformation, particularly in Uttar Pradesh. The present study addresses this gap by evaluating the contribution of Rural Petty Haats through five key economic dimensions: agricultural commercialization, employment generation, local trade expansion, financial circulation, and entrepreneurship development. The present study is based on primary survey data collected from selected districts of Uttar Pradesh. Descriptive Statistics and Multiple Linear Regression Analysis were employed to examine the influence of these economic dimensions on rural economic transformation. The findings reveal that Rural Petty Haats make a statistically significant positive contribution to strengthening agricultural commercialization, generating employment, expanding local trade, improving financial circulation, and promoting entrepreneurship. The regression analysis further confirms that these dimensions collectively exert a significant positive influence on rural economic transformation. The study concludes that Rural Petty Haats continue to function as important grassroots economic institutions supporting inclusive rural development. The findings provide useful empirical evidence for policymakers and researchers seeking to strengthen decentralized rural markets as instruments of sustainable rural economic transformation.

Keywords: Rural Economic Transformation; Agricultural Commercialization; Employment Generation; Entrepreneurship Development; Local Trade; Informal Markets.