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Implications of market and coordination failures for rural development in least developed countries

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  • Jonathan Kydd

    (Centre for Development and Poverty Reduction, Wye Campus, Imperial College London, Wye, Ashford, Kent TN25 5AH, UK)

  • Andrew Dorward

    (Centre for Development and Poverty Reduction, Wye Campus, Imperial College London, Wye, Ashford, Kent TN25 5AH, UK)

Abstract

Market failures affecting economic growth in poor rural areas are firmly on the agenda but for goods and services with private good characteristics are generally not conceptualized and understood in ways that help policy analysis and formulation to recognize and address these failures. We need greater recognition and understanding of the causes and nature of coordination failures that lead to these market failures. This paper examines core features of poor rural areas, the nature of coordination problems faced by different potential economic actors, the impacts of these problems on markets and economic development and ways that these have been addressed or ignored in different policies and policy approaches in Asia and Africa. We conclude by drawing out the implications for policies seeking to promote pro-poor economic growth in poor rural areas today. Copyright © 2004 John Wiley & Sons, Ltd.

Suggested Citation

  • Jonathan Kydd & Andrew Dorward, 2004. "Implications of market and coordination failures for rural development in least developed countries," Journal of International Development, John Wiley & Sons, Ltd., vol. 16(7), pages 951-970.
    • Handle: RePEc:wly:jintdv:v:16:y:2004:i:7:p:951-970
    DOI: 10.1002/jid.1157
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