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The Factor Bias and the Hicks Induced Innovation Hypothesis

In: Production Structure and Productivity of Japanese Agriculture

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  • Yoshimi Kuroda

Abstract

One of the most remarkable changes in Japanese agriculture since the late-1950s has been a drastic decline in labor with dramatic increases in machinery and intermediate input, as seen in Figure 1.3 presented in Chapter 1.1 These changes in relative factor uses in agricultural production have played important roles in the process of economic growth, not only in the agricultural but also in the non-agricultural sectors. In agriculture, the drastic declines in labor have increased the levels of labor productivity at a fairly high rate of about 3 per cent per year on average for the entire study period 1957–97.2 At the same time, the tremendous migratory inflow has also contributed significantly to the growth of the non-agricultural sectors, in particular during the 1957–75 period.

Suggested Citation

  • Yoshimi Kuroda, 2013. "The Factor Bias and the Hicks Induced Innovation Hypothesis," Palgrave Macmillan Books, in: Production Structure and Productivity of Japanese Agriculture, chapter 4, pages 86-110, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-28761-8_4
    DOI: 10.1057/9781137287618_4
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