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Agriculture and Rural Economic Growth

Published online by Cambridge University Press:  28 April 2015

Steven C. Deller
Affiliation:
Department of Agricultural and Applied Economics, University of Wisconsin–Madison, WI
Brian W. Gould
Affiliation:
Department of Agricultural and Applied Economics and the Wisconsin Center for Dairy Research, University of Wisconsin–Madison, WI
Bruce Jones
Affiliation:
Department of Agricultural and Applied Economics, University of Wisconsin–Madison, WI

Abstract

The role of farm dependency and size on rural economic growth is examined with data from 2,240 nonmetropolitan U.S. counties for the period 1990–1995. A simple neoclassical model of regional economic growth is set forth with a central question relating to the role of agriculture on rural economic convergence. Traditional neoclassical theory predicts that poor rural areas should grow proportionally faster than rich areas. As interpreted in the academic literature and popular press, a preponderance of small family farms should enhance growth. Results suggest that a higher level of local dependence on production agriculture could lower growth rates.

Type
Articles
Copyright
Copyright © Southern Agricultural Economics Association 2003

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