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The Relationship Between The Agricultural And Industrial Sectors In Chinese Economic Development

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  • Koo, Won W.
  • Lou, Jianqiang
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    Abstract

    This study examined the interdependency between Chinese agricultural and industrial sectors. A dual economic model was developed to investigate the relationship between the two sectors and factors affecting Chinese economic development. The study reveals traditional inputs, such as labor, are still important to Chinese economic development. Capital investment contributed significantly to the growth of the Chinese industrial sector, but not to the agricultural sector. The results also suggest that foreign trade has made a significant contribution to Chinese economic development. It was found that the growth of the Chinese agricultural sector depends on its industrial growth, but the growth of the Chinese industrial sector does not rely on the agricultural growth.

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    File URL: http://purl.umn.edu/23176
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    Bibliographic Info

    Paper provided by North Dakota State University, Department of Agribusiness and Applied Economics in its series Agricultural Economics Reports with number 23176.

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    Date of creation: 1997
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    Handle: RePEc:ags:nddaer:23176

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    Keywords: Chinese economic development; dual economy; growth model; agricultural sector; industrial sector; foreign trade; International Development;

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