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Agriculture, Roads, and Economic Development in Uganda

  • Douglas Gollin
  • Richard Rogerson

A large fraction of Uganda's population continues to earn a living from quasi-subsistence agriculture. This paper uses a static general equilibrium model to explore the relationships between high transportation costs, low productivity, and the size of the quasi-subsistence sector. We parameterize the model to replicate some key features of the Ugandan data, and we then perform a series of quantitative experiments. Our results suggest that the population in quasi-subsistence agriculture is highly sensitive both to agricultural productivity levels and to transportation costs. The model also suggests positive complementarities between improvements in agricultural productivity and transportation.

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File URL: http://www.nber.org/papers/w15863.pdf
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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 15863.

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Date of creation: Apr 2010
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Publication status: published as Agriculture, Roads, and Economic Development in Uganda , Douglas Gollin, Richard Rogerson. in African Successes, Volume IV: Sustainable Growth , Edwards, Johnson, and Weil. 2016
Handle: RePEc:nbr:nberwo:15863
Note: PE PR
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  1. Gary D. Hansen & Edward C. Prescott, 1998. "Malthus to Solow," NBER Working Papers 6858, National Bureau of Economic Research, Inc.
  2. Berthold Herrendorf & Arilton Teixeira, . "Barriers to Entry and Development," Working Papers 2167726, Department of Economics, W. P. Carey School of Business, Arizona State University.
  3. Marvin Goodfriend & John McDermott, 1999. "Industrial development and the convergence question," Working Paper 99-01, Federal Reserve Bank of Richmond.
  4. Shenggen Fan & Peter Hazell, 2001. "Returns to Public Investments in the Less-Favored Areas of India and China," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(5), pages 1217-1222.
  5. Fan, Shenggen & Chan-Kang, Connie, 2004. "Road development, economic growth, and poverty reduction in China," DSGD discussion papers 12, International Food Policy Research Institute (IFPRI).
  6. Douglas Gollin & Stephen L. Parente & Richard Rogerson, 2004. "The Food Problem and the Evolution of International Income Levels," Working Papers 899, Economic Growth Center, Yale University.
  7. Eswaran, Mukesh & Kotwal, Ashok, 1993. "A theory of real wage growth in LDCs," Journal of Development Economics, Elsevier, vol. 42(2), pages 243-269, December.
  8. Gachassin, Marie & Najman, Boris & Raballand, Gael, 2010. "The impact of roads on poverty reduction : a case study of Cameroon," Policy Research Working Paper Series 5209, The World Bank.
  9. Echevarria, Cristina, 1997. "Changes in Sectoral Composition Associated with Economic Growth," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 38(2), pages 431-52, May.
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