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Patterns of Rural Development: A Cross-Country Comparison using Microeconomic Data

  • Paul Winters
  • Timothy Essam
  • Alberto Zezza
  • Benjamin Davis
  • Calogero Carletto

This article proposes a general pattern of rural development in which increases in per capita income are associated with a decline in the importance of agricultural production and a rise in the importance of non-agricultural income sources. Following the approach to examining Engel's Law, we use data from 15 developing countries and a merged dataset to test whether such a pattern emerges. The analysis shows a strong, positive relationship between per capita income and the share of income earned from rural non-agricultural wage employment and a negative relationship between per capita income and agricultural production. Copyright (c) 2010 The Authors. Journal compilation (c) 2010 The Agricultural Economics Society.

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File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/j.1477-9552.2010.00265.x
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Article provided by Wiley Blackwell in its journal Journal of Agricultural Economics.

Volume (Year): 61 (2010)
Issue (Month): 3 ()
Pages: 628-651

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Handle: RePEc:bla:jageco:v:61:y:2010:i:3:p:628-651
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  1. Alberto Zezza & Paul Winters & Benjamin Davis & Gero Carletto & Katia Covarrubias & Esteban Quinones & Kostas Stamoulis & Takis Karfakis & Luca Tasciotti & Stefania DiGiuseppe & Genny Bonomi, 2007. "Rural Household Access to Assets and Agrarian Institutions; A Cross Country Comparison," Working Papers 07-17, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
  2. Benjamin Davis & Paul Winters & Gero Carletto & Katia Covarrubias & Esteban Quinones & Alberto Zezza & Kostas Stamoulis & Genny Bonomi & Stefania DiGiuseppe, 2007. "Rural Income Generating Activities; A Cross Country Comparison," Working Papers 07-16, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
  3. Winters, Paul & Davis, Benjamin & Carletto, Gero & Covarrubias, Katia & Quiñones, Esteban J. & Zezza, Alberto & Azzarri, Carlo & Stamoulis, Kostas, 2009. "Assets, Activities and Rural Income Generation: Evidence from a Multicountry Analysis," World Development, Elsevier, vol. 37(9), pages 1435-1452, September.
  4. Byrne, Patrick J. & Capps, Oral, Jr., 1996. "Does Engel'S Law Extend To Food Away From Home?," Journal of Food Distribution Research, Food Distribution Research Society, vol. 27(2), July.
  5. Lanjouw, Jean O. & Lanjouw, Peter, 2001. "The rural non-farm sector: issues and evidence from developing countries," Agricultural Economics, Blackwell, vol. 26(1), pages 1-23, October.
  6. Holcomb, Rodney B. & Park, John L. & Capps, Oral, Jr., 1995. "Revisiting Engel'S Law: Examining Expenditure Patterns For Food At Home And Away From Home," Journal of Food Distribution Research, Food Distribution Research Society, vol. 26(2), September.
  7. Deaton, Angus S & Muellbauer, John, 1986. "On Measuring Child Costs: With Applications to Poor Countries," Journal of Political Economy, University of Chicago Press, vol. 94(4), pages 720-44, August.
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