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Key emerging and conceptual issues in the development of the rural non-farm economy in developing countries and transition economies

Author

Listed:
  • Junior Davis

    (Natural Resources Institute)

  • Dirk Bezemer

    (University of Groningen)

Abstract

The rural non-farm economy (RNFE) is of interest to governments, multilateral donor organisations, non-governmental organisations (NGOs) and development practitioners because of its increasing prevalence in both developing and transition economies. In many parts of the world, the number of poor people in rural areas exceeds the capacity of agriculture to provide sustainable livelihood opportunities. Even with a decline in fertility rates and a slowing of population growth, this situation will not change significantly. Out-migration is not possible for all types of people, and urban centres cannot (or should not, for economic and social reasons) be assumed capable of providing adequate livelihood opportunities for all those unable to make a living in agriculture. For these reasons, a healthy RNFE holds out the prospect of improved livelihoods for people living in rural areas. This set of circumstances puts the spotlight on the RNFE as a potential vehicle for poverty reduction in rural areas. This paper reviews contemporary empirical and conceptual thinking on the economics of diversity, non- agricultural growth and the rural non-farm economy.

Suggested Citation

  • Junior Davis & Dirk Bezemer, 2005. "Key emerging and conceptual issues in the development of the rural non-farm economy in developing countries and transition economies," Development and Comp Systems 0510017, University Library of Munich, Germany.
    • Handle: RePEc:wpa:wuwpdc:0510017
    Note: Type of Document - pdf; pages: 30
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    Cited by:

    1. Loening, Josef & Rijkers, Bob & Soderbom, Mans, 2008. "Nonfarm microenterprise performance and the investment climate : evidence from rural Ethiopia," Policy Research Working Paper Series 4577, The World Bank.
    2. Junior Davis, 2005. "The rural non-farm economy, Livelihoods and their," Development and Comp Systems 0510016, University Library of Munich, Germany.
    3. Fritzsch, Jana, 2011. "A Composite Fuzzy Indicator for Assessing Farm Household Potential for Non-farm Income Diversification," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114349, European Association of Agricultural Economists.
    4. Nkechi S. Owoo, 2016. "Determinants of choice of economic sector in the non-farm economy in Ghana," African Journal of Economic and Sustainable Development, Inderscience Enterprises Ltd, vol. 5(1), pages 31-54.
    5. Krishna Surjya Das & Deepak Kumar Mishra, 2018. "Woman and work in rural Assam: pattern and determinants," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 20(2), pages 213-239, October.

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    More about this item

    Keywords

    Rural non-farm economy; non-agricultural growth; employment; livelihoods; diversity;
    All these keywords.

    JEL classification:

    • O - Economic Development, Innovation, Technological Change, and Growth
    • P - Political Economy and Comparative Economic Systems

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