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Determinants of agricultural growth in Indonesia, the Philippines, and Thailand

Author

Listed:
  • Mundlack, Yair
  • Larson, Donald F.
  • Butzer, Rita

Abstract

The introduction of new high-yielding varieties of cereals in the 1960s, known as the green revolution. Changed dramatically the food supply I Asia, as well as in other countries. The authors examine over an extended period, the growth consequences for agriculture in Indonesia, the Philippines, and Thailand. Despite geographic proximity, similar climate, and other shared characteristics, gains in productivity, and income differed significantly among the countries. The authors quantify these differences, and examine their determinants. They find that the new technology changed the returns to fertilizers, irrigated land, and capital, all of which proved scarce to varying degrees, Complementing technology-related changes in factor use were investments - public and private - driven in part by policy. The authors find that factor accumulation played an important role in output growth, and that accumulations from policy-driven investments in human capital, and public infrastructure, were important sources of productivity gains. They conclude that policies that ease constraints on factor markets, and promote public investment in people, and infrastructure, provide the best opportunities for agricultural growth.

Suggested Citation

  • Mundlack, Yair & Larson, Donald F. & Butzer, Rita, 2002. "Determinants of agricultural growth in Indonesia, the Philippines, and Thailand," Policy Research Working Paper Series 2803, The World Bank.
  • Handle: RePEc:wbk:wbrwps:2803
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    References listed on IDEAS

    as
    1. Hayami, Yujiro, 2000. "An ecological and historical perspective on agricultural development in Southeast Asia," Policy Research Working Paper Series 2296, The World Bank.
    2. Nehru, Vikram & Swanson, Eric & Dubey, Ashutosh, 1993. "A new database on human capital stock : sources, methodology and results," Policy Research Working Paper Series 1124, The World Bank.
    3. Martin, Will & Warr, Peter G, 1993. "Explaining the Relative Decline of Agriculture: A Supply-Side Analysis for Indonesia," World Bank Economic Review, World Bank Group, vol. 7(3), pages 381-401, September.
    4. Lanjouw, Jean O. & Lanjouw, Peter, 1995. "Rural nonfarm employment : a survey," Policy Research Working Paper Series 1463, The World Bank.
    5. Punyasavatsut, Chaiyuth & Coxhead, Ian, 2002. "On the Decline of Agriculture in Developing Countries: A Reinterpretation of the Evidence," Staff Paper Series 457, University of Wisconsin, Agricultural and Applied Economics.
    6. Mundlak, Yair, 1981. "On the concept of non-significant functions and its implications for regression analysis," Journal of Econometrics, Elsevier, vol. 16(1), pages 139-149, May.
    7. Mundlak, Yair, 2001. "Production and supply," Handbook of Agricultural Economics,in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 1, pages 3-85 Elsevier.
    8. Larson, Donald F. & Plessmann, Frank, 2002. "Do farmers chooseto be inefficient? evidence from Bicol, Philippines," Policy Research Working Paper Series 2787, The World Bank.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Grimm, M. & Klasen, S., 2007. "Geography vs. Institutions at the Village Level," ISS Working Papers - General Series 18745, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
    2. Pearce, David, 2005. "Review of ACIAR's Research on Agricultural Policy," Impact Assessment Series (IAS) 113220, Australian Centre for International Agricultural Research.
    3. Arsenio M Balisacan, 2004. "Averting Hunger and Food Insecurity in Asia," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 1(1), pages 39-60, June.
    4. Shenggen Fan & Connie Chan-Kang, 2005. "Is small beautiful? Farm size, productivity, and poverty in Asian agriculture," Agricultural Economics, International Association of Agricultural Economists, vol. 32(s1), pages 135-146, January.
    5. Iimi, Atsushi & Smith, James Wilson, 2007. "what is missing between agricultural growth and infrastructure development ? cases of coffee and dairy in Africa," Policy Research Working Paper Series 4411, The World Bank.
    6. repec:got:cegedp:70 is not listed on IDEAS
    7. World Bank, 2004. "Islamic Republic of Iran : An Agricultural Policy Note," World Bank Other Operational Studies 15692, The World Bank.
    8. Berthold Herrendorf & Todd Schoellman, 2015. "Why is Measured Productivity so Low in Agriculture?," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 18(4), pages 1003-1022, October.
    9. Butzer, Rita & Mundlak, Yair & Larson, Donald F., 2003. "Intersectoral Migration in Southeast Asia: Evidence from Indonesia, Thailand, and the Philippines," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 35.
    10. Llanto, Gilberto M., 2012. "The Impact of Infrastructure on Agricultural Productivity," Discussion Papers DP 2012-12, Philippine Institute for Development Studies.
    11. Nguyen, Duc Loc & Grote, Ulrike, 2015. "Migration, Agricultural Production and Diversification: A case study from Vietnam," 2015 Conference, August 9-14, 2015, Milan, Italy 229379, International Association of Agricultural Economists.
    12. Teruel, Romeo G. & Kuroda, Yoshimi, 2005. "Public infrastructure and productivity growth in Philippine agriculture, 1974-2000," Journal of Asian Economics, Elsevier, vol. 16(3), pages 555-576, June.
    13. Chamberlin, Jordan & Jayne, T.S., 2013. "Unpacking the Meaning of ‘Market Access’: Evidence from Rural Kenya," World Development, Elsevier, vol. 41(C), pages 245-264.

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