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Agricultural Growth and Economic Development: A View through the Globalization Lens

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  • Pingali, Prabhu L.

Abstract

This paper re-visits the age old proposition that agriculture growth contributes to overall economic development, and asks whether the relationship still holds in an increasingly globalized world. There is overwhelming empirical support for the above proposition, indeed, it is hard to find exceptions, barring a few city states, where sustained economic development has not been preceded by robust agricultural growth. However, there are a large number of countries that have witnessed neither agricultural growth nor economic development. Even in countries where agricultural growth has been significant, dramatic inter-regional differences persist. This paper examines the factors that contribute to or constrain the process of agricultural transformation. Does the process of globalization, and the resultant changes in agrifood systems, offer new opportunities for agriculture led growth, or will it further marginalize excluded countries, regions and groups? The factors that cause exclusion are examined both in terms of globalization forces and in terms of domestic shortcomings in policies and governance. Policy interventions that attempt to reduce the costs of transition to a globalized agricultural system are explored, including safety nets for those left behind.

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Bibliographic Info

Paper provided by International Association of Agricultural Economists in its series 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia with number 25429.

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Date of creation: 2006
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Handle: RePEc:ags:iaae06:25429

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Keywords: International Development;

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References

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  1. Michael Boehlje, 1999. "Structural Changes in the Agricultural Industries: How Do We Measure, Analyze and Understand Them?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(5), pages 1028-1041.
  2. Pingali, Prabhu L. & Rosegrant, Mark W., 1995. "Agricultural commercialization and diversification: processes and policies," Food Policy, Elsevier, vol. 20(3), pages 171-185, June.
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  4. Maurizio Bussolo & John Whalley, 2003. "Globalisation in Developing Countries: The Role of Transaction Costs in Explaining Economic Performance in India," OECD Development Centre Working Papers 219, OECD Publishing.
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  7. Junior Davis, 2005. "The rural non-farm economy, Livelihoods and their," Development and Comp Systems 0510016, EconWPA.
  8. Reardon, Thomas & Farina, Elizabeth Maria Mercier Querido, 2001. "The Rise Of Private Food Quality And Safety Standards: Illustrations From Brazil," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 4(04).
  9. Prabhu L. Pingali, 1997. "From Subsistence to Commercial Production Systems: The Transformation of Asian Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 628-634.
  10. Ruel, Marie T. & Garrett, James L. & Morris, Saul Sutkover & Maxwell, Daniel G. & Oshaug, Arne & Engle, Patrice L. & Menon, Purnima & Slack, Alison T. & Haddad, Lawrence James, 1998. "Urban challenges to food and nutrition security," FCND discussion papers 51, International Food Policy Research Institute (IFPRI).
  11. Thomas Reardon & C. Peter Timmer & Christopher B. Barrett & Julio Berdegué, 2003. "The Rise of Supermarkets in Africa, Asia, and Latin America," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(5), pages 1140-1146.
  12. C. Peter Timmer, 1997. "Farmers and Markets: The Political Economy of New Paradigms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 621-627.
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  14. Randy Stringer & Prabhu Pingali, 2004. "Agriculture's Contributions to Economic and Social Development," The Electronic Journal of Agricultural and Development Economics, Food and Agriculture Organization of the United Nations, vol. 1(1), pages 1-5.
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Cited by:
  1. Muriithi, Beatrice & Matz, Julia, 2014. "Welfare Effects of Vegetable Commercialization: Evidence from Smallholder Producers in Kenya," Discussion Papers 166029, University of Bonn, Center for Development Research (ZEF).
  2. Dev, S. Mahendra, 2009. "Challenges for Revival of Indian Agriculture," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 22(1).
  3. Jose, Ariyappillil Mathai, 2008. "Recent Developments in the Rwandan Agriculture: The Challenges of Attaining Food Security and Abolishing Absolute Poverty," 2007 Second International Conference, August 20-22, 2007, Accra, Ghana 52131, African Association of Agricultural Economists (AAAE).
  4. Mergenthaler, Marcus & Weinberger, Katinka & Qaim, Matin, 2009. "The food system transformation in developing countries: A disaggregate demand analysis for fruits and vegetables in Vietnam," Food Policy, Elsevier, vol. 34(5), pages 426-436, October.
  5. Balogh, Peter & Ertsey, Imre & Szucs, Istvan, 2009. "Answer to the challenges of the 21st century in the Hungarian pig sector," 2009 Conference, August 16-22, 2009, Beijing, China 51027, International Association of Agricultural Economists.
  6. Muriithi, Beatrice & Matz, Julia, 2014. "Smallholder Participation in the Commercialisation of Vegetables: Evidence from Kenyan Panel Data," Discussion Papers 164665, University of Bonn, Center for Development Research (ZEF).
  7. James Roumasset, 2007. "Population and Agricultural Development," Working Papers 200702, University of Hawaii at Manoa, Department of Economics.

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