Can Agricultural Subsidies Improve Wage Inequality in the Presence of the Agricultural Modernization in Developing Countries?

Dianshuang Wang ()
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Dianshuang Wang: Anhui University of Finance and Economics

Chapter Chapter 7 in Wage Inequality from Agricultural Modernization, 2025, pp 145-158 from Springer

Abstract: Abstract Agriculture in developing countries is predominantly characterized by small-scale landholdings, which hinder the adoption of modern inputs and the realization of agricultural modernization. The agricultural producer service sector, acting as an intermediate sector, plays a crucial role in facilitating this process. This chapter constructs a three-sector general equilibrium model to delineate this process: a portion of manufacturing goods is utilized by the agricultural producer service sector, whose outputs serve as intermediate inputs that substitute for labor in agriculture.

Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-981-96-6851-9_7

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DOI: 10.1007/978-981-96-6851-9_7

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