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Role of agriculture in economic development revisited

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  • D. Gale Johnson

Abstract

While both Malthus and Ricardo viewed agriculture as impediments to economic progress, Mill and Marshall argued that the effects of diminishing returns to land could be offset. Mill emphasized that the progress of civilization, such as roads that reduced the cost of bringing products to market, and policy improvements, such as abolition of the corn laws, provided substitutes for farm inputs. Marshall argued that population growth could for a long time, through growth of organization and knowledge, offset the effects of diminishing returns. Had the insights of Colin Clark dominated the policies of developing countries rather than the implications drawn from the dual sector models and the pessimistic views of Prebisch, agriculture's contribution to economic development would have been enhanced. The efforts to tax agriculture to support import substitution policies reduced rather than increased economic growth. Agriculture has important contributions to make to economic development, but must receive even handed treatment if the possible contributions are to be realized. A major failure of all governments has been the unwillingness to recognize that agriculture is a declining industry and to adopt policies that would assist farm people to adjust to the decline in demand for farm labor.

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  • D. Gale Johnson, 1993. "Role of agriculture in economic development revisited," Agricultural Economics, International Association of Agricultural Economists, vol. 8(4), pages 421-434, June.
    • Handle: RePEc:bla:agecon:v:8:y:1993:i:4:p:421-434
    DOI: 10.1111/j.1574-0862.1993.tb00253.x
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    Cited by:

    1. Tricia Mangal & Day-Yang Liu, 2020. "The contribution to economic growth by industry: The Case of Saint Lucia," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 10(1), pages 1-6.
    2. Nguyen-Anh, Tuan & Hoang-Duc, Chinh & Tiet, Tuyen & Nguyen-Van, Phu & To-The, Nguyen, 2022. "Composite effects of human, natural and social capitals on sustainable food-crop farming in Sub-Saharan Africa," Food Policy, Elsevier, vol. 113(C).
    3. Naseem, Anwar & Oehmke, James F. & Anderson, Jock & Mbaye, Samba & Pray, Carl & Nagarajan, Latha & Moss, Charles B. & Post, Lori, 2017. "Measuring Agricultural and Structural Transformation," 2017 Annual Meeting, July 30-August 1, Chicago, Illinois 258549, Agricultural and Applied Economics Association.
    4. Christiaensen, Luc & Tollens, Eric & Ezedinma, Chuma, 1995. "Development patterns under population pressure: Agricultural development and the cassava-livestock interaction in smallholder farming systems in Sub-Saharan Africa," Agricultural Systems, Elsevier, vol. 48(1), pages 51-72.
    5. Johnson, D. Gale, 1995. "Leonard K. Elmhirst Lecture: The Limited but Essential Role of Government in Agriculture and Rural Life," 1994 Conference, August 22-29, 1994, Harare, Zimbabwe 183372, International Association of Agricultural Economists.
    6. Ramón López & Alberto Valdés, 2000. "Fighting Rural Poverty in Latin America: New Evidence and Policy," Palgrave Macmillan Books, in: Ramón López & Alberto Valdés (ed.), Rural Poverty in Latin America, chapter 1, pages 1-31, Palgrave Macmillan.
    7. Xiao Wang & Jinming Shi & Jia Li & Yu Chen & Jianxu Liu & Songsak Sriboonchitta, 2023. "Analysis on Trade Competition and Complementarity of High-Quality Agricultural Products in Countries along the Belt and Road Initiative," Sustainability, MDPI, vol. 15(8), pages 1-34, April.

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