Agriculture, Aid and Economic Growth in Africa
How can foreign aid to agriculture support economic growth in Africa? This paper constructs a geographically-indexed applied general equilibrium model that considers pathways through which aid might affect growth and structural transformation of la...
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World Bank, Washington, DC
2018
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| Online Access: | http://documents.worldbank.org/curated/en/224601526907459368/Agriculture-aid-and-economic-growth-in-Africa http://hdl.handle.net/10986/29857 |
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okr-10986-298572021-06-08T14:42:46Z Agriculture, Aid and Economic Growth in Africa McArthur, John W. Sachs, Jeffrey D. GREEN REVOLUTION AGRICULTURAL PRODUCTIVITY FOREIGN AID AGRICULTURAL INPUTS OFFICIAL DEVELOPMENT ASSISTANCE FARM PRODUCTIVITY How can foreign aid to agriculture support economic growth in Africa? This paper constructs a geographically-indexed applied general equilibrium model that considers pathways through which aid might affect growth and structural transformation of labor markets in the context of soil nutrient variation, minimum subsistence consumption requirements, domestic transport costs, labor mobility and constraints to self-financing of agricultural inputs. Using plausible parameters, the model is presented for Uganda as an illustrative case. Three stylized scenarios demonstrate the potential economy-wide impacts of both soil nutrient loss and replenishment, and how foreign aid can be targeted to support agricultural inputs that boost rural productivity and shift labor to boost real wages. One simulation shows how a temporary program of targeted official development assistance (ODA) for agriculture could generate, contrary to traditional Dutch disease concerns, an expansion in the primary tradable sector and positive permanent productivity and welfare effects, leading to a steady decline in the need for complementary ODA for budget support. 2018-05-23T19:34:07Z 2018-05-23T19:34:07Z 2018-05 Working Paper http://documents.worldbank.org/curated/en/224601526907459368/Agriculture-aid-and-economic-growth-in-Africa http://hdl.handle.net/10986/29857 English Policy Research Working Paper;No. 8447 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Sub-Saharan Africa Uganda |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
GREEN REVOLUTION AGRICULTURAL PRODUCTIVITY FOREIGN AID AGRICULTURAL INPUTS OFFICIAL DEVELOPMENT ASSISTANCE FARM PRODUCTIVITY |
| spellingShingle |
GREEN REVOLUTION AGRICULTURAL PRODUCTIVITY FOREIGN AID AGRICULTURAL INPUTS OFFICIAL DEVELOPMENT ASSISTANCE FARM PRODUCTIVITY McArthur, John W. Sachs, Jeffrey D. Agriculture, Aid and Economic Growth in Africa |
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Africa Sub-Saharan Africa Uganda |
| relation |
Policy Research Working Paper;No. 8447 |
| description |
How can foreign aid to agriculture
support economic growth in Africa? This paper constructs a
geographically-indexed applied general equilibrium model
that considers pathways through which aid might affect
growth and structural transformation of labor markets in the
context of soil nutrient variation, minimum subsistence
consumption requirements, domestic transport costs, labor
mobility and constraints to self-financing of agricultural
inputs. Using plausible parameters, the model is presented
for Uganda as an illustrative case. Three stylized scenarios
demonstrate the potential economy-wide impacts of both soil
nutrient loss and replenishment, and how foreign aid can be
targeted to support agricultural inputs that boost rural
productivity and shift labor to boost real wages. One
simulation shows how a temporary program of targeted
official development assistance (ODA) for agriculture could
generate, contrary to traditional Dutch disease concerns, an
expansion in the primary tradable sector and positive
permanent productivity and welfare effects, leading to a
steady decline in the need for complementary ODA for budget support. |
| format |
Working Paper |
| author |
McArthur, John W. Sachs, Jeffrey D. |
| author_facet |
McArthur, John W. Sachs, Jeffrey D. |
| author_sort |
McArthur, John W. |
| title |
Agriculture, Aid and Economic Growth in Africa |
| title_short |
Agriculture, Aid and Economic Growth in Africa |
| title_full |
Agriculture, Aid and Economic Growth in Africa |
| title_fullStr |
Agriculture, Aid and Economic Growth in Africa |
| title_full_unstemmed |
Agriculture, Aid and Economic Growth in Africa |
| title_sort |
agriculture, aid and economic growth in africa |
| publisher |
World Bank, Washington, DC |
| publishDate |
2018 |
| url |
http://documents.worldbank.org/curated/en/224601526907459368/Agriculture-aid-and-economic-growth-in-Africa http://hdl.handle.net/10986/29857 |
| _version_ |
1764470563291529216 |