IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/14847.html
   My bibliography  Save this paper

INVESTING in Agriculturally-Led Growth: The Philippine Case

Author

Listed:
  • Roumasset, James

Abstract

Much of the debate on the role of agriculture in economic development centers on whether agriculture should be taxed or subsidized. The classical prescription for economic development is investment in industrial modernization financed by an agricultural surplus. Proponents of agricultural development have cautioned, however, that squeezing the agricultural sector will stifle the engine of growth and lead to economic stagnation (e.g., Johnston and Mellor, 1961; Krishna, 1967). Instead, they have advocated the opposite policy of stimulating agricultural development through investment and subsidies to the agricultural sector. The 1980s witnessed a widespread recognition that either taxing or subsidizing agriculture wastes resources and reduces the incentives for investment (see e.g. World Developme~R~et port, 1983 and 1987). This leads to the conundrum that motivates the present paper: how can agricultural development be stimulated without distorting the incentives for efficient resource allocation and investment?

Suggested Citation

  • Roumasset, James, 1992. "INVESTING in Agriculturally-Led Growth: The Philippine Case," MPRA Paper 14847, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:14847
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/14847/1/MPRA_paper_14847.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. World Bank, 1987. "World Development Report 1987," World Bank Publications - Books, The World Bank Group, number 5970, April.
    2. James Roumasset, 1989. "Decentralization and Local Public Goods: Getting the Incentives Right," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 26(1), pages 1-13, June.
    3. Mellor, John W & Johnston, Bruce F, 1984. "The World Food Equation: Interrelations among Development, Employment, and Food Consumption," Journal of Economic Literature, American Economic Association, vol. 22(2), pages 531-574, June.
    4. World Bank, 1983. "World Development Report 1983," World Bank Publications - Books, The World Bank Group, number 5966, April.
    5. Pray, Carl E. & Ruttan, Vernon W., 1985. "Completion Report of the Asian Agricultural Research Project (Contract No. AID/ASIA-C-1456)," Bulletins 8439, University of Minnesota, Economic Development Center.
    6. David, Cristina C., 1983. "Economic Policies and Philippine Agriculture," Working Papers WP 1983-02, Philippine Institute for Development Studies.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Roumasset, James, 2004. "Rural Institutions, Agricultural Development, and Pro-Poor Economic Growth," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 1(01), pages 1-20, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Aysit Tansel & Ceyhan Ozturk & Erkan Erdil, 2021. "The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study," Koç University-TUSIAD Economic Research Forum Working Papers 2118, Koc University-TUSIAD Economic Research Forum.
    2. Stephen Knowles & P. Dorian Owen, 1997. "Education and Health in an Effective‐Labour Empirical Growth Model," The Economic Record, The Economic Society of Australia, vol. 73(223), pages 314-328, December.
    3. J. Bradford De Long & Lawrence H. Summers, 1991. "Equipment Investment and Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(2), pages 445-502.
    4. Iyanatul Islam, 1992. "Political Economy and East Asian Economic Development," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 6(2), pages 69-101, November.
    5. Michael T. Rock, 2002. "Exploring the impact of selective interventions in agriculture on the growth of manufactures in Indonesia, Malaysia, and Thailand," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(4), pages 485-510.
    6. Shafaeddin, Mehdi, 2010. "Trade liberalization, industrialization and development; experience of recent decades," MPRA Paper 26355, University Library of Munich, Germany.
    7. Bin, Sheng, 2000. "The Political Economy of Trade Policy in China," Working Papers 10/2000, Copenhagen Business School, Department of Management, Politics & Philosophy.
    8. Ziderman, Adrian, 1989. "Payroll taxes for financing training in developing countries," Policy Research Working Paper Series 141, The World Bank.
    9. repec:phd:pjdevt:jpd_1990_vol__xvii_no__2-d is not listed on IDEAS
    10. Knight, J.B. & Sabot, R.H., 1988. "Lewis Through A Looking Glass: Public Sector Employment, Rent-Seeking And Economic Growth," Center for Development Economics 108, Department of Economics, Williams College.
    11. repec:afa:wpaper:aesri-2021-02 is not listed on IDEAS
    12. Yeats,Alexander James, 1989. "Shifting patterns of comparative advantage : manufactured exports in developing countries," Policy Research Working Paper Series 165, The World Bank.
    13. Anne O. Krueger, 2019. "Increased capital mobility and policy reform in developing countries," Indian Economic Review, Springer, vol. 54(1), pages 113-133, December.
    14. David C. E. Chew, 1993. "Civil Service Pay in the Asian‐Pacific Region," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 7(1), pages 28-52, May.
    15. Lester B. Lave & Kathleen Heffernan Vickland, 1989. "Adjusting to Greenhouse Effects: The Demise of Traditional Cultures and the Cost to the USA," Risk Analysis, John Wiley & Sons, vol. 9(3), pages 283-291, September.
    16. Roumasset, James A., 2006. "The Economics of Agricultural Development: What Have We Learned?," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25598, International Association of Agricultural Economists.
    17. Borin, Alessandro & Di Nino, Virginia & Mancini, Michele & Sbracia, Massimo, 2016. "The Cyclicality of the Income Elasticity of Trade," MPRA Paper 73000, University Library of Munich, Germany.
    18. Social Policy and Population Section, Social Development Division, ESCAP., 1995. "Asia-Pacific Population Journal Volume 10, No. 4," Asia-Pacific Population Journal, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), vol. 10(4), pages 1-41, November.
    19. Nicholas M. Odhiambo, "undated". "Is Export-Led Growth Hypothesis Still Valid for Sub-Saharan African Countries? New Evidence from Panel Data Analysis," Working Papers AESRIWP02, African Economic and Social Research Institute (AESRI).
    20. Ansu Datta, 2002. "Africa and Globalization," Jadavpur Journal of International Relations, , vol. 6(1), pages 45-59, June.
    21. Ashok Chakravarti, 2012. "Institutions, Economic Performance and the Visible Hand," Books, Edward Elgar Publishing, number 14751, December.
    22. Argandoña, Antonio, 2000. "Sobre la corrupción," IESE Research Papers D/418, IESE Business School.

    More about this item

    Keywords

    agriculture; growth; the Philippines;
    All these keywords.

    JEL classification:

    • N55 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - Asia including Middle East
    • D92 - Microeconomics - - Micro-Based Behavioral Economics - - - Intertemporal Firm Choice, Investment, Capacity, and Financing

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:14847. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.