By OECD Publishing
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Extra info for Agricultural Policies for Poverty Reduction
A STRATEGIC FRAMEWORK FOR STRENGTHENING RURAL INCOMES IN DEVELOPING COUNTRIES shocks on poverty and food security than by seeking to offset those impacts directly (for example by releasing/buying stocks, or by changing tariffs). The advantages and disadvantages of alternative approaches to market stabilisation are discussed in (OECD, 2010a). Input subsidies have also been suggested as a way (possibly the only way) of targeting the incomes of poor farmers, with the attraction (when markets are insulated) of lowering prices to consumers too.
10. Land, labour use and productivity in Thai agriculture, 1961 to 2007 Agricultural land, 000 ha Economically active population in agriculture, 000 persons Value production per hectare Value production per farm worker USD per ha/worker 26 000 1 100 24 000 1 000 22 000 20 000 900 " ,A211CLIIPt__ 800 111111511111M1,7- 18 000 700 16 000 600 14 000 500 -4LeMill1111111111 12 000 400 300 10 000 o3coN c<;\ co°3 \' \°3 R3N 43°' cb`" cl;\ cb°3 03N 03°' 03('' c;\ °3°3 0(' Source and notes: Computed from FAOSTAT data.
However, the average masks a range of different experiences. For example, agricultural productivity grew faster than productivity in manufactures in India. Kenya and Turkey, but slower in Egypt, Korea and Indonesia. Which effect dominates depends on a range of factors, including national institutions and government policies (for example, towards innovation). When agricultural productivity growth outpaces productivity growth in other sectors, we tend to observe a more rapid release of labour - the "push" out of the sector complementing the "pull" from relatively fast demand growth outside the sector (but possibly within the rural economy).
Agricultural Policies for Poverty Reduction by OECD Publishing