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Main Title: Agricultural Development Models

Course/ Class Name: Socio – Economic Development

Name(s):Dale Baltazar

Institution Name: University of Belize

Instructor: Leonard Chavarria Jr.

Short Description of the paper’s content:

This paper will give you a thorough understanding of 2 model from the four main Agricultural

Development Models.
The Conservation Models

In the 18th century England and German uses animal manure and organic waste came to play and

important role in maintaining the soil fertility. The input into the agricultural system were all

supplied from within the agricultural Sector. Agronomist in particular develop the concept of

soil exhaustion, in this model they talk about the struggles to maintain the fertility of the soils.

Whatever is being taken out of the soil has to be put back in place. If we keep on planting

without fertilizing the soil, agriculture will sooner or later run into diminishing returns. The

theory of Boserup indicates that soil fertility and conservation can be seen in a more dynamic

perspective. By more intensive cultivation of the land, increase return per hectare may be

realised without the loss of any soil fertility. Hayami and Ruttan include Boserup in the

conservation model because the input in agriculture are forthcoming from within the agricultural

sector itself in a self-sustaining system. The provision of agricultural inputs by the industrial

sector dates from after the second agricultural revolution in the 19th century

The Urban Industrial Impact Model (Location Model)

In its modern form was formulated by Theodor w. Schultz (1953) Schultz argued that

productivity, agricultural income and growth of production are highest close to urban center.

This is because a product markets and markets for factors of production function better in the

vicinity or areas with rapid urban and industrial development. Hayami and Ruttan consider the

empirical evidence for this relationship to be inconclusive and its relevance for poorer

developing countries rather limited. A possible policy implication for developing countries

would be to spread urbanization and the industry as much as possible over and entire country.
Hills argue that in some region rural market actually function quite well. One should not confuse

production for the market with urbanization. Initially, the urban industrial impact model was

formulated (by Von Thunen) to explain geographic variations in the intensity of farming system

and in the productivity of labor in and industrialized society. Key concepts:1. Agriculture must

change input combinations 2. Agriculture must respond to demand changes.

Reference:

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Thirtle, C. G. (1985). The microeconomic approach to induced innovation: a reformulation of the


Hayami and Ruttan model. The Manchester School, 53(3), 263-279.

Boucher, S. R., Carter, M. R., & Guirkinger, C. (2008). Risk rationing and wealth effects in
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