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Technology, production environment, and household income: Assessing the regional impacts of technological change

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  • Mitch Renkow

Abstract

This paper clarifies the factors determining the welfare effects of improved agricultural technologies when technology diffusion is unevenly distributed across production environments Household‐level income effects are shown to depend primarily on: (a) whether the economy is open or closed with respect to world markets; (b) whether households are net consumers or net producers of the commodity for which technological change occurs; (c) whether households are adopters or non‐adopters of the new technology; (d) the degree to which labor is mobile across agricultural regions; and (e) government intervention in commodity and/or factor markets. A review of recent empirical work indicates considerable variation in the relative strength of these various factors across countries, and that assumptions regarding the mechanism by which commodity prices are determined – endogenously as in a closed economy, or exogenously as in an open economy – is especially critical.

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  • Mitch Renkow, 1994. "Technology, production environment, and household income: Assessing the regional impacts of technological change," Agricultural Economics, International Association of Agricultural Economists, vol. 10(3), pages 219-231, May.
    • Handle: RePEc:bla:agecon:v:10:y:1994:i:3:p:219-231
    DOI: 10.1111/j.1574-0862.1994.tb00304.x
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    Cited by:

    1. Heisey, Paul W. & Lantican, Maximina A. & Dubin, H. Jesse, 2002. "Impacts of International Wheat Breeding Research in Developing Countries, 1966-97," Impact Studies 7653, CIMMYT: International Maize and Wheat Improvement Center.
    2. Renkow, Mitch, 2000. "Poverty, productivity and production environment:: a review of the evidence," Food Policy, Elsevier, vol. 25(4), pages 463-478, August.
    3. Heisey, Paul W. & Morris, Michael L., 2002. "Practical Challenges To Estimating The Benefits Of Agricultural R&D: The Case Of Plant Breeding Research," 2002 Annual meeting, July 28-31, Long Beach, CA 19828, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Morris, M. L. & Heisey, P. W., 2003. "Estimating the benefits of plant breeding research: methodological issues and practical challenges," Agricultural Economics, Blackwell, vol. 29(3), pages 241-252, December.
    5. Smale, M. & Bellon, M. R. & Aguirre, J. A. & Manuel Rosas, I. & Mendoza, J. & Solano, A. M. & Martinez, R. & Ramirez, A. & Berthaud, J., 2003. "The economic costs and benefits of a participatory project to conserve maize landraces on farms in Oaxaca, Mexico," Agricultural Economics, Blackwell, vol. 29(3), pages 265-275, December.
    6. Madan M. Dey & Ferdinand J. Paraguas & Patrick Kambewa & Diemuth E. Pemsl, 2010. "The impact of integrated aquaculture–agriculture on small‐scale farms in Southern Malawi," Agricultural Economics, International Association of Agricultural Economists, vol. 41(1), pages 67-79, January.

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