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Is Agricultural Sector Growth a Precondition for Economic Growth? The Case of South Africa

Author

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  • Poonyth, D.
  • Hassan, R.
  • Kirsten, J. F.
  • Calcaterra, M.

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 supports the argument of President T. Mbeki, that South Africa should follow an "agricultural-led" growth strategy for successful development.

Suggested Citation

  • Poonyth, D. & Hassan, R. & Kirsten, J. F. & Calcaterra, M., 2001. "Is Agricultural Sector Growth a Precondition for Economic Growth? The Case of South Africa," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 40(2), June.
    • Handle: RePEc:ags:agreko:269291
    DOI: 10.22004/ag.econ.269291
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    Cited by:

    1. Pavitra Dhamija, 2020. "Economic Development and South Africa: 25 Years Analysis (1994 to 2019)," South African Journal of Economics, Economic Society of South Africa, vol. 88(3), pages 298-322, September.
    2. Karimou, S.M., 2018. "Impact of agricultural output on economic growth in West Africa: Case of Benin," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277388, International Association of Agricultural Economists.
    3. Pierre Berthelier & Anna Lipchitz, 2005. "Quel rôle joue l'agriculture dans la croissance et le développement ?," Revue Tiers Monde, Programme National Persée, vol. 46(183), pages 603-624.

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    Keywords

    Agribusiness;

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