IDEAS home Printed from https://ideas.repec.org/a/bba/j00001/v4y2025i2p36-53d408.html

Impact of Institutional Quality and Research and Development (R&D) on Agricultural Productivity in Low-and Middle-Income Countries

Author

Listed:
  • Agossou Justin Tovilode

    (Agribusiness Economics, Southern Illinois University of Carbondale, Carbondale, IL, USA)

  • Wanki Moon

    (Agribusiness Economics, Southern Illinois University of Carbondale, Carbondale, IL, USA)

Abstract

This study investigates the impact of institutions and public agricultural Research and Development (R&D) on agricultural productivity in low- and middle-income countries. The paper employs panel data with fixed-effects models, spanning 12 years and including 49 low-and middle-income countries. Agricultural productivity is measured by cereal yield, while institutional factors are assessed through four key indicators: judicial independence, property rights protection, contract enforcement, and impartial public administration. Public agricultural R&D investments serve as the measure for agricultural R&D. The findings show that property rights protection positively influences agricultural productivity, whereas legal contract enforcement has a negative impact across these countries. Additionally, public agricultural R&D significantly and positively affect productivity in Asia and the LAC regions, but not in sub-Saharan Africa.

Suggested Citation

  • Agossou Justin Tovilode & Wanki Moon, 2025. "Impact of Institutional Quality and Research and Development (R&D) on Agricultural Productivity in Low-and Middle-Income Countries," Journal of Economic Analysis, Anser Press, vol. 4(2), pages 36-53, June.
    • Handle: RePEc:bba:j00001:v:4:y:2025:i:2:p:36-53:d:408
    as

    Download full text from publisher

    File URL: https://www.anserpress.org/journal/jea/4/2/100/pdf
    Download Restriction: no
    File URL: https://www.anserpress.org/journal/jea/4/2/100
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. William Easterly, 2002. "The Elusive Quest for Growth: Economists' Adventures and Misadventures in the Tropics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262550423, December.
    2. 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.
    3. Cuma BOZKURT, 2015. "R&D Expenditures and Economic Growth Relationship in Turkey," International Journal of Economics and Financial Issues, Econjournals, vol. 5(1), pages 188-198.
    4. Dani Rodrik & Arvind Subramanian & Francesco Trebbi, 2004. "Institutions Rule: The Primacy of Institutions Over Geography and Integration in Economic Development," Journal of Economic Growth, Springer, vol. 9(2), pages 131-165, June.
    5. repec:wbk:wbpubs:2263 is not listed on IDEAS
    6. Gollin, Douglas, 2010. "Agricultural Productivity and Economic Growth," Handbook of Agricultural Economics, in: Robert Evenson & Prabhu Pingali (ed.), Handbook of Agricultural Economics, edition 1, volume 4, chapter 73, pages 3825-3866, Elsevier.
    7. Stephen Knack & Philip Keefer, 1997. "Does Social Capital Have an Economic Payoff? A Cross-Country Investigation," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1251-1288.
    8. Andrew J. Hussey & Michael Jetter & Dianne McWilliam, 2021. "The Fundamental Determinants of Economic Inequality in Average Income Across Countries: The Declining Role of Political Institutions," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 67(1), pages 104-133, March.
    9. Fuglie, Keith O. & Wang, Sun Ling, 2012. "Productivity Growth in Global Agriculture Shifting to Developing Countries," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 27(4), pages 1-7.
    10. Beintema, Nienke M. & Stads, Gert-Jan, 2010. "Public agricultural R&D investments and capacities in developing countries: Recent evidence for 2000 and beyond," ASTI synthesis reports 732, International Food Policy Research Institute (IFPRI).
    11. Vogel, Stephen J, 1994. "Structural Changes in Agriculture: Production Linkages and Agricultural Demand-Led Industrialization," Oxford Economic Papers, Oxford University Press, vol. 46(1), pages 136-156, January.
    12. Stephen Knack & Philip Keefer, 1995. "Institutions And Economic Performance: Cross‐Country Tests Using Alternative Institutional Measures," Economics and Politics, Wiley Blackwell, vol. 7(3), pages 207-227, November.
    13. Ravallion, Martin & Datt, Gaurav, 1996. "How Important to India's Poor Is the Sectoral Composition of Economic Growth?," The World Bank Economic Review, World Bank, vol. 10(1), pages 1-25, January.
    14. repec:fpr:astibn:732 is not listed on IDEAS
    15. Henrik Braconier, 2000. "Do Higher Per Capita Incomes Lead to More R&D Expenditure?," Review of Development Economics, Wiley Blackwell, vol. 4(3), pages 244-257, October.
    16. Dani Rodrik, 2006. "Institutions for High-Quality Growth: What They Are and How to Acquire Them," Chapters, in: Kartik Roy & Jörn Sideras (ed.), Institutions, Globalisation and Empowerment, chapter 2, Edward Elgar Publishing.
    17. Diao, Xinshen & Hazell, Peter & Thurlow, James, 2010. "The Role of Agriculture in African Development," World Development, Elsevier, vol. 38(10), pages 1375-1383, October.
    18. repec:wbk:wbpubs:6624 is not listed on IDEAS
    19. Stefan Dercon, 2009. "Rural Poverty: Old Challenges in New Contexts," The World Bank Research Observer, World Bank, vol. 24(1), pages 1-28, April.
    20. 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.
    21. Adelman, Irma, 1984. "Beyond export-led growth," World Development, Elsevier, vol. 12(9), pages 937-949, September.
    22. Knack, Stephen & Keefer, Philip, 1995. "Institutions and Economic Performance: Cross-Country Tests Using Alternative Institutional Indicators," MPRA Paper 23118, University Library of Munich, Germany.
    23. Fan, Shenggen & Rao, Neetha, 2003. "Public spending in developing countries: trends, determination, and impact," EPTD discussion papers 99, International Food Policy Research Institute (IFPRI).
    24. Christiaensen, Luc & Demery, Lionel & Kuhl, Jesper, 2011. "The (evolving) role of agriculture in poverty reduction--An empirical perspective," Journal of Development Economics, Elsevier, vol. 96(2), pages 239-254, November.
    25. Remmer, Karen L., 1991. "The Political Impact of Economic Crisis in Latin America in the 1980s," American Political Science Review, Cambridge University Press, vol. 85(3), pages 777-800, September.
    26. repec:bla:rdevec:v:4:y:2000:i:3:p:244-57 is not listed on IDEAS
    27. Adelman, Irma, 1984. "Beyond export-led growth," CUDARE Working Paper Series 309, University of California at Berkeley, Department of Agricultural and Resource Economics and Policy.
    28. Heisey, Paul W., 2001. "Agricultural Research and Development, Agricultural Productivity, and Food Security," Agricultural Information Bulletins 33685, United States Department of Agriculture, Economic Research Service.
    29. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472, Elsevier.
    Full references (including those not matched with items on IDEAS)

    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. Dorosh, Paul & Thurlow, James, 2018. "Beyond Agriculture Versus Non-Agriculture: Decomposing Sectoral Growth–Poverty Linkages in Five African Countries," World Development, Elsevier, vol. 109(C), pages 440-451.
    2. Dethier, Jean-Jacques & Effenberger, Alexandra, 2012. "Agriculture and development: A brief review of the literature," Economic Systems, Elsevier, vol. 36(2), pages 175-205.
    3. Conceição, Pedro & Levine, Sebastian & Lipton, Michael & Warren-Rodríguez, Alex, 2016. "Toward a food secure future: Ensuring food security for sustainable human development in Sub-Saharan Africa," Food Policy, Elsevier, vol. 60(C), pages 1-9.
    4. repec:spo:wpmain:info:hdl:2441/f0uohitsgqh8dhk980eal4i12 is not listed on IDEAS
    5. ROUGIER Eric, 2015. ""The parts and the whole”: Unbundling and re-bundling institutional systems and their effect on economic development," Cahiers du GREThA (2007-2019) 2015-12, Groupe de Recherche en Economie Théorique et Appliquée (GREThA).
    6. Ahmet Faruk Aysan, 2006. "Yonetisim ve Kurumlar Terimlerinin Iktisat Literaturundeki Yukselisi," Working Papers 2006/16, Bogazici University, Department of Economics.
    7. Andrew J. Hussey & Michael Jetter & Dianne McWilliam, 2021. "The Fundamental Determinants of Economic Inequality in Average Income Across Countries: The Declining Role of Political Institutions," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 67(1), pages 104-133, March.
    8. Mehmet Ugur & David Sunderland, 2011. "Does Economic Governance Matter? New Contributions to the Debate," Chapters, in: Mehmet Ugur & David Sunderland (ed.), Does Economic Governance Matter?, chapter 1, Edward Elgar Publishing.
    9. Ilkhom SHARIPOV, 2016. "ECONOMIC GROWTH IN THE EU’S EaP COUNTRIES: DETERMINANTS AND PROSPECTS," EURINT, Centre for European Studies, Alexandru Ioan Cuza University, vol. 3, pages 169-187.
    10. In Do Hwang, 2017. "Which Type of Trust Matters?:Interpersonal vs. Institutional vs. Political Trust," Working Papers 2017-15, Economic Research Institute, Bank of Korea.
    11. Dalila Chenaf-Nicet, 2020. "Dynamics of Structural Change in a Globalized World: What Is the Role Played by Institutions in the Case of Sub-Saharan African Countries?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 32(4), pages 998-1037, September.
    12. Thomas Farole & Andrés Rodríguez-Pose & Michael Storper, 2007. "Social capital, rules, and institutions: A cross-country investigation," Working Papers 2007-12, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales.
    13. Alali, Walid Y., 2010. "Institutions, Policies, and Economic Growth: Overview," MPRA Paper 115609, University Library of Munich, Germany.
    14. Dorosh, Paul & Thurlow, James, 2014. "Can Cities or Towns Drive African Development? Economywide Analysis for Ethiopia and Uganda," World Development, Elsevier, vol. 63(C), pages 113-123.
    15. Ludek Kouba & Hans Pitlik, 2014. "I wanna live my life: Locus of Control and Support for the Welfare State," MENDELU Working Papers in Business and Economics 2014-46, Mendel University in Brno, Faculty of Business and Economics.
    16. Antoci, Angelo & Borghesi, Simone & Iannucci, Gianluca & Ticci, Elisa, 2019. "Land use and pollution in a two-sector evolutionary model," Structural Change and Economic Dynamics, Elsevier, vol. 50(C), pages 114-125.
    17. Eicher, Theo S. & García-Peñalosa, Cecilia & Kuenzel, David J., 2018. "Constitutional rules as determinants of social infrastructure," Journal of Macroeconomics, Elsevier, vol. 57(C), pages 182-209.
    18. Williamson, Claudia R., 2012. "Dignity and development," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 41(6), pages 763-771.
    19. Slesman, Ly & Baharumshah, Ahmad Zubaidi & Ra'ees, Wahabuddin, 2015. "Institutional infrastructure and economic growth in member countries of the Organization of Islamic Cooperation (OIC)," Economic Modelling, Elsevier, vol. 51(C), pages 214-226.
    20. Andersson, Martin & Rohne Till, Emelie, 2017. "Between the Engine and the Fifth Wheel: An Analytical Survey of the Shifting Roles of Agriculture in Development Theory," Lund Papers in Economic History 163, Lund University, Department of Economic History.
    21. Bezemer, Dirk & Headey, Derek, 2008. "Agriculture, Development, and Urban Bias," World Development, Elsevier, vol. 36(8), pages 1342-1364, August.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    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:bba:j00001:v:4:y:2025:i:2:p:36-53:d:408. 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: Ramona Wang (email available below). General contact details of provider: https://www.anserpress.org .

    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.