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Policy Responses to Changing Perceptions of the Role of Agriculture in Development

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  • Kym Anderson

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Abstract

Traditionally, development economists had a dim view of the contribution that farmers made to modern economic growth, compared with manufacturers. Hence agricultural exports and manufacturing imports were often taxed. This view changed over time though, as first economists and then policy makers came to understand the high cost of an anti-agricultural, import-substituting industrialization strategy. This paper outlines how this change came about and the resulting economic policy reforms that occurred in developing countries from the 1980s. It then considers the kinds of distortions that remain within agricultural markets, their cost to the global economy, and alternatives to these price-distorting measures.

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File URL: https://crawford.anu.edu.au/acde/publications/publish/papers/wp2012/wp_econ_2012_11.pdf
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Bibliographic Info

Paper provided by The Australian National University, Arndt-Corden Department of Economics in its series Departmental Working Papers with number 2012-11.

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Length: 45
Date of creation: 2012
Date of revision:
Handle: RePEc:pas:papers:2012-11

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Keywords: agricultural development economics; import-substituting industrialization; farm and food price distortions;

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  1. Johnson, D. Gale, 1987. "World Agriculture In Disarray Revisited," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 31(02), August.
  2. Kym Anderson & Signe Nelgen, 2010. "Trade Barrier Volatility and Agricultural Price Stabilization," Centre for International Economic Studies Working Papers 2010-16, University of Adelaide, Centre for International Economic Studies.
  3. Kym Anderson & Anna Strutt, 2012. "Agriculture and Food Security in Asia by 2030," Macroeconomics Working Papers 23309, East Asian Bureau of Economic Research.
  4. Alexander Sarris & Piero Conforti & Adam Prakash, 2011. "The use of organized commodity markets to manage food import price instability and risk," Agricultural Economics, International Association of Agricultural Economists, vol. 42(1), pages 47-64, 01.
  5. Skoufias, Emmanuel & Tiwari, Sailesh & Zaman, Hassan, 2011. "Can we rely on cash transfers to protect dietary diversity during food crises ? estimates from Indonesia," Policy Research Working Paper Series 5548, The World Bank.
  6. Anderson, Kym & Kurzweil, Marianne & Martin, Will & Sandri, Damiano & Valenzuela, Ernesto, 2008. "Measuring Distortions to Agricultural Incentives, Revisited," CEPR Discussion Papers 6924, C.E.P.R. Discussion Papers.
  7. Anderson, Kym & Martin, William J. & Valenzuela, Ernesto, 2007. "Long Run Implications of WTO Accession for Agriculture in China," China's Agricultural Trade: Issues and Prospects Symposium, July 2007, Beijing, China 55025, International Agricultural Trade Research Consortium.
  8. Shenggen Fan & Peter Hazell, 2001. "Returns to Public Investments in the Less-Favored Areas of India and China," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(5), pages 1217-1222.
  9. Byerlee, Derek & Jayne, T.S. & Myers, Robert J., 2006. "Managing food price risks and instability in a liberalizing market environment: Overview and policy options," Food Policy, Elsevier, vol. 31(4), pages 275-287, August.
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