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IS AGRICULTURAL SECTOR GROWTH A PRECONDITION FOR ECONOMIC GROWTH? THE CASE OF SOUTH AFRICA

Daneswar Poonyth, Rashid M. Hassan, Johann Kirsten and M. Calcaterra

No 18044, Working Papers from University of Pretoria, Department of Agricultural Economics, Extension and Rural Development

Abstract: In this paper a simple growth model is adapted to explain the effect of the agricultural sectors' growth on the non-agricultural sector. The empirical results suggest that for a 1% growth in the agricultural sector, the non-agricultural sector responds by more than 1%. The results also confirm that productivity difference exists, the non-agricultural sector being more efficient in terms of input use. The empirical results support the argument of President T. Mbeki, that South Africa should follow an "agricultural-led" growth strategy for successful development.

Keywords: International; Development (search for similar items in EconPapers)
Pages: 14
Date: 2001
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Citations: View citations in EconPapers (3)

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Journal Article: Is Agricultural Sector Growth a Precondition for Economic Growth? The Case of South Africa (2001) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:ags:upaewp:18044

DOI: 10.22004/ag.econ.18044

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