Many resource-rich developing countries are often faced with the challenge of generating sufficie... more Many resource-rich developing countries are often faced with the challenge of generating sufficient employment for poverty alleviation due to factors such as the capital-intensive nature of resource extraction, the lack of (or weak) linkages between the resource sector and the wider economy, and potential Dutch disease effects. Using Papua New Guinea as a case study, this paper uses a dynamic computable general equilibrium model to analyse some options for a resource-dependent developing country to boost growth in the agricultural and manufacturing sectors. Four policy experiments were conducted to examine the impacts of increased primary factor productivity growth in the agricultural and manufacturing industries; increased investment in agriculture; increased investment in agriculture in conjunction with improved infrastructure; and improved value adding and productivity in agro-processing. Our results indicate that investing in agriculture and manufacturing without addressing supply side constraints such as poor road infrastructure would fail to maximise the desired impacts. We also show that by shifting the emphasis from production of primary commodities for export to value adding or secondary production activities, resource-dependent developing countries could enhance growth and employment.
... THE IMPLICATIONS OF EUROPEAN UNION SUGAR PRICE CUTS, ECONOMIC PARTNERSHIP AGREEMENT, AND DEVE... more ... THE IMPLICATIONS OF EUROPEAN UNION SUGAR PRICE CUTS, ECONOMIC PARTNERSHIP AGREEMENT, AND DEVELOPMENT AID FOR FIJI. RENUKA MAHADEVAN 1 ,; JOHN ASAFU-ADJAYE 2,. Article first published online: 3 JUN 2009. ... Kasi Gold Mine. ...
This study analyses the potential impact of conservation agriculture (CA) and its binding constra... more This study analyses the potential impact of conservation agriculture (CA) and its binding constraints for adoption in smallholder farming systems in a drought-prone district of central Ethiopia. We develop a dynamic household bio-economic model by taking into account the existing farming system, resource constraints and market imperfections. Climate-induced production risk is introduced into the model by estimating a weather-specific production function using data generated from a crop simulation model. It is found that the full package of CA, which consists of minimum tillage, mulching and crop diversification, does not appear to be in the best interest of smallholder farmers. However, loosely defined CA practises such as sole maize production with conservation tillage and maize–bean intercropping with conventional tillage, which are not currently practised in the study area, are likely to be adopted by the farmers. The results further demonstrate that time preference, risk aversion, limited credit and market access are key constraints to CA uptake. However, merely addressing these constraints may be insufficient incentives for smallholder farmers to fully adopt CA practises. It is important to identify conditions under which the full package CA can be effectively adopted before it is widely promoted.
Many resource-rich developing countries are often faced with the challenge of generating sufficie... more Many resource-rich developing countries are often faced with the challenge of generating sufficient employment for poverty alleviation due to factors such as the capital-intensive nature of resource extraction, the lack of (or weak) linkages between the resource sector and the wider economy, and potential Dutch disease effects. Using Papua New Guinea as a case study, this paper uses a dynamic computable general equilibrium model to analyse some options for a resource-dependent developing country to boost growth in the agricultural and manufacturing sectors. Four policy experiments were conducted to examine the impacts of increased primary factor productivity growth in the agricultural and manufacturing industries; increased investment in agriculture; increased investment in agriculture in conjunction with improved infrastructure; and improved value adding and productivity in agro-processing. Our results indicate that investing in agriculture and manufacturing without addressing supply side constraints such as poor road infrastructure would fail to maximise the desired impacts. We also show that by shifting the emphasis from production of primary commodities for export to value adding or secondary production activities, resource-dependent developing countries could enhance growth and employment.
... THE IMPLICATIONS OF EUROPEAN UNION SUGAR PRICE CUTS, ECONOMIC PARTNERSHIP AGREEMENT, AND DEVE... more ... THE IMPLICATIONS OF EUROPEAN UNION SUGAR PRICE CUTS, ECONOMIC PARTNERSHIP AGREEMENT, AND DEVELOPMENT AID FOR FIJI. RENUKA MAHADEVAN 1 ,; JOHN ASAFU-ADJAYE 2,. Article first published online: 3 JUN 2009. ... Kasi Gold Mine. ...
This study analyses the potential impact of conservation agriculture (CA) and its binding constra... more This study analyses the potential impact of conservation agriculture (CA) and its binding constraints for adoption in smallholder farming systems in a drought-prone district of central Ethiopia. We develop a dynamic household bio-economic model by taking into account the existing farming system, resource constraints and market imperfections. Climate-induced production risk is introduced into the model by estimating a weather-specific production function using data generated from a crop simulation model. It is found that the full package of CA, which consists of minimum tillage, mulching and crop diversification, does not appear to be in the best interest of smallholder farmers. However, loosely defined CA practises such as sole maize production with conservation tillage and maize–bean intercropping with conventional tillage, which are not currently practised in the study area, are likely to be adopted by the farmers. The results further demonstrate that time preference, risk aversion, limited credit and market access are key constraints to CA uptake. However, merely addressing these constraints may be insufficient incentives for smallholder farmers to fully adopt CA practises. It is important to identify conditions under which the full package CA can be effectively adopted before it is widely promoted.
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