Agriculture and Economic Development:
The development of any poor and backward economy can be brought by promoting
its agri. sector. It is evident from the following arguments:
We should know that agri. sector can play an important role in the economic
development of any country. In other words, if agri. sector is promoted it will
lead to promote the overall development of any country.
In respect of agri. production and agri. development the economists present
three stage, which are as:
We know about the stages of agri. development. Most of the
developing countries of Asia, Africa and Latin America are passing through stage
I to stage II.
We know about the agrarian structures of Asia, Latin America and
Africa. This give us an information that in these areas of the world the major
share of agriculture consists of subsistence or small scale farming.
In agriculture specialization, farmers produce one crop instead
of so many crops. In other words, the farmers, adopt specialized farming. By
doing so they avail all those benefits which are accrued to the big businesses.
Economic development is a process whereby the real national
income of a country increases over a long period of time. If the increase in real
national income is greater than the increase in population growth, the real per
capita income would increase.
In this connection we study (1) Classical Model, (2) Growth Stage
and (3) Kuznets Views.
In this connection we shall study (1) Nurksey Model, (2) Dual Economy Models
like Sociological Dualism, Technical Dualism, Lewis Model and Fei-Ranis Model.
The world history reveals that the agri. sector contributed towards
capital formation, hence it became helpful for economic development Now we
establish a link between agri. sector and capital formation.
The land reforms or agrarian reforms means all
those measures which are aimed at removing those obstacles which are responsible
for keeping the agriculture sector backward socially and economically.
In so many countries under land reforms the lands are taken over
by the govt. But this method was adopted under socialist countries.
Because of land reforms the economic power of the land lords in the rural
areas comes down. But this depends upon how effective the land reforms are. This
is the reason that land reforms got success either in socialistic countries, or
in the strict ideological countries like Israel and India.
The land reforms in a country can play an effective role in its
development if there exist certain circumstances and conditions in a country.
The land reforms are unable to remove the obstacles in the way of social and
When better and superior seeds are used; the fertilizers, pesticides,
herbicides and sprays are used; and the farm machinery like tractors,
harvesters, tube wells and threshers etc., are used to enhance the agriculture output and agri. productivity
all is given the name of Green Revolution (GR).
Due to Green Revolution (GR) miracle seeds known as HYV (High yielding variety) have been
adopted by the farmers in some LDCs at a high rates. As in Pakistan about 73%
of wheat was sown with "Mexican" seed of wheat during 1969-70.
During fifties and early sixties due to population growth the
real per capita income and per capita food availability has reduced. When the
food production hardly increased while population increased.
Here we assume that GR is technological and biological. Whether GR
is labor using or labor displacing depends on the net effect of the forces
released by two different kinds of technical progress.
Apparently this scheme of GR looks very attractive that it will lead to bring
a revolution in agri. But Prof. Hala Mynit has presented a lot of problems
regarding GR. They are as:
Normally it is said that as the size of the farm increases, the
per acre yield of the farm decreases. It means that the
small farms are more efficient than the large farms. In this
respect, following arguments are given:
Here we discuss relationship between size of lands and the
productivity of lands as to whether the small farms are more
productive as compared with large farms.
We know that higher the size of farms lower will be the productivity
of land while the reverse is true in the case of small farms. But in this analysis land was the variable factor.