IDEAS home Printed from https://ideas.repec.org/a/spr/jecstr/v3y2014i1p1-4310.1186-s40008-014-0008-x.html
   My bibliography  Save this article

Agricultural Modernization, Structural Change and Pro-poor Growth: Policy Options for the Democratic Republic of Congo

Author

Listed:
  • Christian Otchia

Abstract

This paper applies the framework for pro-poor analysis to welfare changes from a CGE-microsimulation model to analyze what are the better or worse models for agriculture modernization, and to estimate the contribution of growth and redistribution to changes in poverty in DRC. The findings indicate that labor-using technological change generates absolute and relative pro-poor effects whereas capital-using technological change leads to immiserizing growth. More importantly, the results suggest that labor-using technological change can be independently sufficient for reducing poverty via the income growth effects. This study also highlights how developing input supply networks, securing tenure among smallholders, and improving access to land for women are important for pro-poor agricultural modernization. Copyright Otchia; licensee Springer 2014

Suggested Citation

  • Christian Otchia, 2014. "Agricultural Modernization, Structural Change and Pro-poor Growth: Policy Options for the Democratic Republic of Congo," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 3(1), pages 1-43, December.
    • Handle: RePEc:spr:jecstr:v:3:y:2014:i:1:p:1-43:10.1186/s40008-014-0008-x
    DOI: 10.1186/s40008-014-0008-x
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1186/s40008-014-0008-x
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1186/s40008-014-0008-x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Dorward, Andrew & Fan, Shenggen & Kydd, Jonathan & Lofgren, Hans & Morrison, Jamie & Poulton, Colin & Rao, Neetha & Smith, Laurence & Tchale, Hardwick & Thorat, Sukhadeo & Urey, Ian & Wobst, Peter, 2004. "Institutions and economic policies for pro-poor agricultural growth," DSGD discussion papers 15, International Food Policy Research Institute (IFPRI).
    2. Goldman, Abe & Smith, Joyotee, 1995. "Agricultural transformations in India and Northern Nigeria: Exploring the nature of Green Revolutions," World Development, Elsevier, vol. 23(2), pages 243-263, February.
    3. Ravallion, Martin, 1997. "Can high-inequality developing countries escape absolute poverty?," Economics Letters, Elsevier, vol. 56(1), pages 51-57, September.
    4. Eicher, Carl K., 1995. "Zimbabwe's maize-based Green Revolution: Preconditions for replication," World Development, Elsevier, vol. 23(5), pages 805-818, May.
    5. Lambert, Peter J & Aronson, J Richard, 1993. "Inequality Decomposition Analysis and the Gini Coefficient Revisited," Economic Journal, Royal Economic Society, vol. 103(420), pages 1221-1227, September.
    6. Dorothée Boccanfuso & Massa Coulibaly & Luc Savard & Govinda Timilsina, 2018. "Macroeconomic and Distributional Impacts of Jatropha Based Biodiesel in Mali," Economies, MDPI, vol. 6(4), pages 1-22, November.
    7. Dorothée Boccanfuso & Samuel Tambi Kaboré, 2004. "Croissance, inégalité et pauvreté dans les années quatre-vingt-dix au Burkina Faso et au Sénégal," Revue d’économie du développement, De Boeck Université, vol. 12(2), pages 9-35.
    8. Smale, Melinda, 1995. ""Maize is life": Malawi's delayed Green Revolution," World Development, Elsevier, vol. 23(5), pages 819-831, May.
    9. François Bourguignon & Maurizio Bussolo & Luis Pereira, 2008. "The Impact of Macroeconomic Policies on Poverty and Income Distribution," PSE-Ecole d'économie de Paris (Postprint) halshs-00754864, HAL.
    10. Peter J. Lambert & Andre' Decoster, 2005. "The Gini coefficient reveals more," Metron - International Journal of Statistics, Dipartimento di Statistica, Probabilità e Statistiche Applicate - University of Rome, vol. 0(3), pages 373-400.
    11. Jayne, T. S. & Yamano, Takashi & Weber, Michael T. & Tschirley, David & Benfica, Rui & Chapoto, Antony & Zulu, Ballard, 2003. "Smallholder income and land distribution in Africa: implications for poverty reduction strategies," Food Policy, Elsevier, vol. 28(3), pages 253-275, June.
    12. Keith Griffin, 1979. "The Political Economy of Agrarian Change," Palgrave Macmillan Books, Palgrave Macmillan, edition 0, number 978-1-349-16176-8.
    13. Francisco Alvarez-Cuadrado & Markus Poschke, 2011. "Structural Change Out of Agriculture: Labor Push versus Labor Pull," American Economic Journal: Macroeconomics, American Economic Association, vol. 3(3), pages 127-158, July.
    14. Mookherjee, Dilip & Shorrocks, Anthony F, 1982. "A Decomposition Analysis of the Trend in UK Income Inequality," Economic Journal, Royal Economic Society, vol. 92(368), pages 886-902, December.
    15. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, vol. 78(1), pages 93-99, January.
    16. Raju J. Das, 1998. "The Green Revolution, agrarian productivity and labor," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 22(1), pages 122-135, March.
    17. Thirtle, Colin & Lin, Lin & Piesse, Jenifer, 2003. "The Impact of Research-Led Agricultural Productivity Growth on Poverty Reduction in Africa, Asia and Latin America," World Development, Elsevier, vol. 31(12), pages 1959-1975, December.
    18. L. Rachel Ngai & Christopher A. Pissarides, 2007. "Structural Change in a Multisector Model of Growth," American Economic Review, American Economic Association, vol. 97(1), pages 429-443, March.
    19. C. Thirtle & R. Townsend & J. van Zyl, 1998. "Testing the induced innovation hypothesis: an error correction model of South African agriculture," Agricultural Economics, International Association of Agricultural Economists, vol. 19(1-2), pages 145-157, September.
    20. Luca Tiberti & John Cockburn & Ismaël Fofana, 2010. "Simulating the Impact of the Global Economic Crisis and Policy Responses on Children in West and Central Africa," Papers inwopa596, Innocenti Working Papers.
    21. Alain de Janvry & Elisabeth Sadoulet, 2010. "Agricultural Growth and Poverty Reduction: Additional Evidence," The World Bank Research Observer, World Bank, vol. 25(1), pages 1-20, February.
    22. Johannes Herderschee & Kai-Alexander Kaiser & Daniel Mukoko Samba, 2012. "Resilience of an African Giant : Boosting Growth and Development in the Democratic Republic of Congo," World Bank Publications - Books, The World Bank Group, number 2359, December.
    23. Dorothée BOCCANFUSO & Massa COULABY & Govinda R TIMILSINA & Luc SAVARD, 2010. "Economic and Distributional Impact of Bio-Fuels in Mali," EcoMod2010 259600032, EcoMod.
    24. Nabil Annabi & Fatou Cissé & John Cockburn & Bernard Decaluwé, 2005. "Trade Liberalisation, Growth and Poverty in Senegal: a Dynamic Microsimulation CGE Model Analysis," Cahiers de recherche 0512, CIRPEE.
    25. Cuffaro, Nadia, 1997. "Population growth and agriculture in poor countries: A review of theoretical issues and empirical evidence," World Development, Elsevier, vol. 25(7), pages 1151-1163, July.
    26. Loayza, Norman V. & Raddatz, Claudio, 2010. "The composition of growth matters for poverty alleviation," Journal of Development Economics, Elsevier, vol. 93(1), pages 137-151, September.
    27. Pernia, Ernesto & Kakwani, Nanak, 2000. "What is Pro-poor Growth?," MPRA Paper 104987, University Library of Munich, Germany.
    28. Xavier Irz & Lin Lin & Colin Thirtle & Steve Wiggins, 2001. "Agricultural Productivity Growth and Poverty Alleviation," Development Policy Review, Overseas Development Institute, vol. 19(4), pages 449-466, December.
    29. Thirtle, C. & Townsend, R. & van Zyl, J., 1998. "Testing the induced innovation hypothesis: an error correction model of South African agriculture," Agricultural Economics, Blackwell, vol. 19(1-2), pages 145-157, September.
    30. Andrew Dorward & Shenggen Fan & Jonathan Kydd & Hans Lofgren & Jamie Morrison & Colin Poulton & Neetha Rao & Laurence Smith & Hardwick Tchale & Sukhadeo Thorat & Ian Urey & Peter Wobst, 2004. "Institutions and Policies for Pro-poor Agricultural Growth," Development Policy Review, Overseas Development Institute, vol. 22(6), pages 611-622, November.
    31. Bourguignon, Francois & Morrisson, Christian, 1998. "Inequality and development: the role of dualism," Journal of Development Economics, Elsevier, vol. 57(2), pages 233-257.
    32. A. Colin Cameron & Pravin K. Trivedi, 2010. "Microeconometrics Using Stata, Revised Edition," Stata Press books, StataCorp LP, number musr, March.
    33. Michael Morris & Valerie A. Kelly & Ron J. Kopicki & Derek Byerlee, 2007. "Fertilizer Use in African Agriculture : Lessons Learned and Good Practice Guidelines," World Bank Publications - Books, The World Bank Group, number 6650, December.
    34. Sami Bibi & John Cockburn & Ismaël Fofana & Luca Tiberti, 2010. "Impacts of the Global Crisis and Policy Responses on Child Well-being: A macro-micro simulation framework," Papers inwopa602, Innocenti Working Papers.
    35. Lofgren, Hans & Cicowiez, Martin & Diaz-Bonilla, Carolina, 2013. "MAMS – A Computable General Equilibrium Model for Developing Country Strategy Analysis," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 159-276, Elsevier.
    36. C. Arndt & H.T. Jensen & S. Robinson & F. Tarp, 2000. "Marketing Margins and Agricultural Technology in Mozambique," Journal of Development Studies, Taylor & Francis Journals, vol. 37(1), pages 121-137, October.
    37. de Janvry, Alain & Sadoulet, Elisabeth & Zhu, Nong, 2005. "The Role of Non-Farm Incomes in Reducing Rural Poverty and Inequality in China," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt7ts2z766, Department of Agricultural & Resource Economics, UC Berkeley.
    38. de Janvry, Alain & Sadoulet, Elisabeth, 1996. "Growth, Inequality, And Poverty In Latin America: A Causal Analysis, 1970-94," CUDARE Working Papers 25097, University of California, Berkeley, Department of Agricultural and Resource Economics.
    39. Magnac, Th, 1991. "Segmented or Competitive Labor Markets," Econometrica, Econometric Society, vol. 59(1), pages 165-187, January.
    40. Cleaver, Harry M, Jr, 1972. "The Contradictions of the Green Revolution," American Economic Review, American Economic Association, vol. 62(2), pages 177-186, May.
    41. Freebairn, Donald K., 1995. "Did the Green Revolution Concentrate Incomes? A Quantitative Study of Research Reports," World Development, Elsevier, vol. 23(2), pages 265-279, February.
    42. Hayami, Yujiro & Ruttan, V W, 1970. "Factor Prices and Technical Change in Agricultural Development: The United States and Japan, 1880-1960," Journal of Political Economy, University of Chicago Press, vol. 78(5), pages 1115-1141, Sept.-Oct.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zewdie Habte Shikur, 2020. "Agricultural policies, agricultural production and rural households’ welfare in Ethiopia," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-21, December.
    2. Fatemeh Keshavarz-Ghorbani & Seyed Hamid Reza Pasandideh, 2022. "Modeling and optimizing an agro-supply chain considering different quality grades and storage systems for fresh products: a Benders decomposition solution approach," Journal of Combinatorial Optimization, Springer, vol. 44(1), pages 21-50, August.
    3. Pietro De Marinis & Samuele De Petris & Filippo Sarvia & Giacinto Manfron & Evelyn Joan Momo & Tommaso Orusa & Gianmarco Corvino & Guido Sali & Enrico Mondino Borgogno, 2021. "Supporting Pro-Poor Reforms of Agricultural Systems in Eastern DRC (Africa) with Remotely Sensed Data: A Possible Contribution of Spatial Entropy to Interpret Land Management Practices," Land, MDPI, vol. 10(12), pages 1-22, December.
    4. Katcho Karume & Jean M. Mondo & Géant B. Chuma & Angele Ibanda & Espoir M. Bagula & Alex Lina Aleke & Serge Ndjadi & Bintu Ndusha & Pascaline Azine Ciza & Nadege Cirezi Cizungu & Daniel Muhindo & Anth, 2022. "Current Practices and Prospects of Climate-Smart Agriculture in Democratic Republic of Congo: A Review," Land, MDPI, vol. 11(10), pages 1-19, October.
    5. Otchia, Christian S., 2015. "Mining-based growth and productive transformation in the Democratic Republic of Congo: What can an African lion learn from an Asian tiger?," Resources Policy, Elsevier, vol. 45(C), pages 227-238.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zewdie Habte Shikur, 2020. "Agricultural policies, agricultural production and rural households’ welfare in Ethiopia," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-21, December.
    2. Facundo Alvaredo & Leonardo Gasparini, 2013. "Recent Trends in Inequality and Poverty in Developing Countries," CEDLAS, Working Papers 0151, CEDLAS, Universidad Nacional de La Plata.
    3. Campagnolo, Lorenza & Davide, Marinella, 2019. "Can the Paris deal boost SDGs achievement? An assessment of climate mitigation co-benefits or side-effects on poverty and inequality," World Development, Elsevier, vol. 122(C), pages 96-109.
    4. Nicoletta Berardi & Federica Marzo, 2017. "The Elasticity of Poverty with respect to Sectoral Growth in Africa," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 63(1), pages 147-168, March.
    5. Chiarella, Cristina & Meyfroidt, Patrick & Abeygunawardane, Dilini & Conforti, Piero, 2023. "Balancing the trade-offs between land productivity, labor productivity and labor intensity," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 52(10), pages 1618-1634.
    6. Kraay, Aart, 2004. "When is growth pro-poor? Cross-country evidence," Policy Research Working Paper Series 3225, The World Bank.
    7. Allanson, Paul, 2014. "Income stratification and between-group inequality," Economics Letters, Elsevier, vol. 124(2), pages 227-230.
    8. Aftab Ahmad, 2020. "Poverty Terrorism Nexus: A Case Study Of Pakistan," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 9(4), pages 162-172, December.
    9. Klasen, Stephan & Reimers, Malte, 2017. "Looking at Pro-Poor Growth from an Agricultural Perspective," World Development, Elsevier, vol. 90(C), pages 147-168.
    10. Ingvild Almås & Magne Mogstad, 2009. "Older or Wealthier? The Impact of Age Adjustments on the Wealth Inequality Ranking of Countries," Discussion Papers 583, Statistics Norway, Research Department.
    11. Shikur, Zewdie Habte, 2021. "Potato and Tomato Supply and Yield Responses to Policy in Ethiopia," African Journal of Economic Review, African Journal of Economic Review, vol. 9(4), September.
    12. Luca Tiberti & John Cockburn & Ismaël Fofana, 2010. "Simulating the Impact of the Global Economic Crisis and Policy Responses on Children in West and Central Africa," Papers inwopa596, Innocenti Working Papers.
    13. Ismael Ahamdanech & Carmelo García-Pérez & Mercedes Prieto-Alaiz, 2020. "A Stochastic Dominance Approach to Evaluating Pro-Poor Growth—An Application to the Spanish Case," Sustainability, MDPI, vol. 12(5), pages 1-16, February.
    14. Flaviana Palmisano & Vito Peragine, 2015. "The Distributional Incidence of Growth: A Social Welfare Approach," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 61(3), pages 440-464, September.
    15. Nong Zhu & Xubei Luo, 2014. "The Impact of migration on rural poverty and inequality: a case study in China," CIRANO Working Papers 2014s-08, CIRANO.
    16. Larson,Donald F. & Muraoka,Rie & Otsuka,Keijiro, 2016. "On the central role of small farms in African rural development strategies," Policy Research Working Paper Series 7710, The World Bank.
    17. Nabil Annabi & Fatou Cissé & John Cockburn & Bernard Decaluwé, 2005. "Trade Liberalisation, Growth and Poverty in Senegal: a Dynamic Microsimulation CGE Model Analysis," Cahiers de recherche 0512, CIRPEE.
    18. Birner, Regina & Resnick, Danielle, 2010. "The Political Economy of Policies for Smallholder Agriculture," World Development, Elsevier, vol. 38(10), pages 1442-1452, October.
    19. Green, Erik & Hillbom, Ellen & Lindgren, Mattias, 2011. "Principal Trends and Debates in African Agricultural Development," MPRA Paper 92547, University Library of Munich, Germany.
    20. Roberto Esposti & Pierpaolo Pierani, 2008. "Price-induced technical progress in Italian agriculture," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 89(4), pages 5-28.

    More about this item

    Keywords

    Agricultural modernization; Technological change; Pro-poor growth; Input reform; CGE-microsimulation; C68; D33; O33; Q10; Q18;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • D33 - Microeconomics - - Distribution - - - Factor Income Distribution
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:jecstr:v:3:y:2014:i:1:p:1-43:10.1186/s40008-014-0008-x. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.