THE INSTITUTE OF FINANCE MANAGEMENT
FACULTY: BUSINESS AND ECONOMICS
PROGRAMME: BACHELOR OF ECONOMICS AND FINANCE
SUBJECT: DEVELOPMENT ECONOMICS
CODE: ECU 07308
YEAR: 2
STREAM C
GROUP 4
INDIVIDUAL ASSIGNMENT
NAME OF STUDENT REGISTRATION NUMBER
OMARI S MAUGA IMC/BEF/2224786
QUESTION:
Can agriculture act as a leading sector rather than a follower?
Agriculture is the practice of cultivating soil, producing crops, and raising livestock for food,
fiber, and other products used to sustain and enhance human life. It encompasses a wide range of
activities, including planting and harvesting crops, managing livestock, and utilizing various
farming techniques to ensure food production. Agriculture plays a crucial role in providing food
security, supporting economies, and contributing to various industries.
Certainly, agriculture can function as a leading sector through innovation, sustainable practices,
and technology integration. By adopting advanced farming techniques, using improved
technology, and prioritizing environmental stewardship, agriculture can drive economic growth
and food security. It has the potential to set trends rather than merely responding to them.
The following are the points to support the notion that “Agriculture acts as a leading sector rather
than the others”:
Technological Innovation; The innovations of various technologies in agriculture, such
as precision farming, satellite imaging, and automated machinery, enables farmers to boost
productivity and efficiency. By leading in the adoption of these innovations, agriculture becomes
a model in embracing technological advancements, setting the stage for increased yields and
sustainable practices.
Economic Diversification; Agriculture, when coupled with agribusiness initiatives, adds
layers of economic diversification. By venturing into value-added products, agro-processing, and
agri-tourism, the agricultural sector expands its influence beyond traditional farming. This
diversification not only enhances the sector's economic significance but also positions it as a leader
in creating varied income streams.
Environmental Stewardship; The growing global emphasis on sustainability amplifies
agriculture's role as a leader. Sustainable farming practices, such as organic farming and
agroecology, reduce environmental impact, preserve biodiversity, and respond to consumer
preferences for eco-friendly products. Agriculture, by prioritizing environmental stewardship, sets
an example for other industries to follow.
Food Security and Global Demand; The fundamental role of agriculture in providing
food for a growing global population places it at the forefront of addressing crucial issues like food
security. The increasing demand for diverse and nutritious food sources positions agriculture as a
leader in meeting these global needs, ensuring a stable food supply for nations worldwide.
Job Creation and Rural Development; Agriculture's capacity to generate employment
and foster rural development underscores its leading role. As a significant source of livelihood for
a large portion of the population, particularly in developing countries, agriculture acts as a catalyst
for economic growth by creating jobs and improving living standards in rural areas.
Government Policies and Support; Proactive government policies and support further
establish agriculture as a leading sector. When governments invest in research and development,
provide financial incentives, and implement farmer-friendly policies, agriculture gains the
momentum to drive economic growth independently. This policy-driven leadership role
strengthens the resilience and sustainability of the agricultural sector.
Hence, through technological innovation, economic diversification, environmental stewardship,
addressing global food demand, contributing to job creation, and receiving supportive government
policies, agriculture emerges as an important and a leading sector in the Economy, actively shaping
and influencing broader economic trends.
REFERENCES
➢ Cypher, J, M. and Dietz, J, L. (2009). The process of Economic development, 3rd e.d; Routledge
2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN, pp 353-356.
➢ Ventura, Jaume. (2005). “A Global View of Economic Growth.” in Philippe Aghion and Steven
Durlauf (editors) Handbook of Economic Growth, North Holland, Amsterdam.
➢ Daron, A. (n.d.). Introduction to modern economic growth, Department of Economics;
Massachusetts Institute of Technology.
