EPAR TECHNICAL REPORT #121
Mon, 01/10/2011
AUTHORS: Kate Schneider, Mary Kay Gugerty
ABSTRACT:
The purpose of this literature review is to identify the linkages between increases in agricultural productivity and poverty reduction. The relevant literature includes economic theory and evidence from applied growth and multiplier models as well as micro-level studies evaluating the impact of specific productivity increases on local poverty outcomes. We find that cross-country and micro-level empirical studies provide general support for the theories of a positive relationship between growth in agricultural productivity and poverty alleviation, regardless of the measures of productivity and poverty that are used. The evidence also suggests multiple pathways through which increases in agricultural productivity can reduce poverty, including real income changes, employment generation, rural non-farm multiplier effects, and food prices effects. However, we find that barriers to technology adoption, initial asset endowments, and constraints to market access may all inhibit the ability of the poorest to participate in the gains from agricultural productivity growth.
TYPE OF RESEARCH: Literature Review
RESEARCH TOPIC CATEGORY: Sustainable Agriculture & Rural Livelihoods; Agricultural Productivity, Yield, & Constraints; Household Well-Being & Equity; Poverty
POPULATION(S): Rural Populations
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Literature Review