Features of Rural Economy:
1. Village is an Institution: The villagers a primary institution and it satisfies almost all the needs of the rural community. The rural people have a feeling of belongingness and a sense of unity towards each other.
2. Dependence on Agriculture: The rural economy depends much on nature and agricultural activities. Agriculture and allied activities are the main occupation in rural areas.
3. Life of Rural people: Lifestyles in villages are very simple. Public services like education, housing, health and sanitation, transport and communication, banking, roads and markets are limited and unavailable.
The standards of living of majority of rural people are poor and pitiable. In terms of methods of production, social organization and political mobilization, rural sector is extremely backward and weak.
4. Population Density: Population density, measured by number of persons living per sq.km is very low and houses are scattered in the entire villages.
5. Employment: There exists unemployment, seasonal unemployment and under employment in rural areas.
6. Poverty: Poverty is a condition where the basic needs of the people like food, clothing and shelter are not being met.
7. Indebtedness: People in rural areas are highly indebted owing to poverty and underemployment, lack of farm and non-farm employment opportunities, low wage employment, seasonality in production, poor marketing network etc.
8. Rural Income: The income of the rural people is constrained as the rural economy is not sufficiently vibrant to provide them.
9. Dependency: Rural households are largely dependent on social grants and remittances from family members working in urban areas and cities.
10. Dualism: Dualism means the co-existence of two extremely different features like developed and underdeveloped. These characteristics are very common in rural areas.
11. Inequality: The distributions of income, wealth and assets are highly skewed among rural people. Land, livestock and other assets are owned by a few people.
12. Migration: Rural people are forced to migrate from villages to urban areas in order to seek gainful employment for their livelihood.
