Macroeconomic Policy Reforms And Agriculture

Why write a book on macroeconomic policies and their links to agriculture and food security in developing countries? The food price spikes of the years just prior to 2010 and the economic, political, and social dislocations they generated refocused the attention of policymakers and development practitioners on the agricultural sector and food security concerns. But even without those traumatic events, the importance of agriculture for developing countries—and for an adequate functioning of the world economy— cannot be denied. First, although declining over time, primary agriculture still represents important percentages of developing countries’ overall domestic production, exports, and employment. If agroindustrial, transportation, commercial, and other related activities are also counted, then the economic and social importance of agriculture-based sectors increases significantly. Furthermore, large numbers of the world’s poor still live in rural areas and work in agriculture. Through the links via production, trade, employment, and prices, agricultural production is also crucial for national food security. Second, it has been shown that agriculture in developing countries has important growth and employment multipliers for the rest of the economy, and agriculture seems to have larger positive effects in reducing poverty than growth in other sectors. Third, agriculture is not only important for individual developing countries, but it has global significance, considering the large presence of developing countries in world agricultural production and the increasing participation in international trade of those products (these three points will be covered in greater detail in Chapter 1).

This report investigates the income and equity effects of macroeconomic policy reforms in Zimbabwe, emphasizing linkages between macroeconomic policies and agricultural performance and agriculture's influence on aggregate income and its distribution. Analyses focus on reform of the foreign trade regime, public expenditure, and tax policy, along with the potential benefits of combining these structural changes with various land reform scenarios. The study uses a CGE model that provides a policy simulation laboratory in which exogenous policy changes are analyzed for their economywide income and equity effects.The report highlights the need for policy complementarities in Zimbabwe that can contribute to equitable growth. It should be of interest not only to those concerned with recent economic developments in Zimbabwe but also to those concerned with the broader issues of macroeconomic reform and its ultimate effects.

"Over the past decade, developing and formerly centrally planned economies have embarked on fundamental economic reforms. The reforms at the macroeconomic level - notably in fiscal, monetary and trade policies - have been at the heart of the policy and analytic debate. Yet, this book shows that while these macroeconomic reforms are a necessary condition for growth, they are not in themselves sufficient or sustainable: reforms in the productive sectors of the economy - agriculture, industry and services - are also required, and the sequencing of these reforms is a vital issue. This volume examines the relationship between macroeconomic and trade reforms and adjustments in food and agricultural policies. Comparative perspectives are provided, based on a wide range of developing and formerly centrally planned country studies." "The volume addresses a critical lacunae in the literature concerning economic adjustment and demonstrates the need for economy-wide perspectives. The neglect of critical linkages, and notably the macro-agro linkages, is shown to have undermined reforms in a wide range of countries. The daily challenge facing economists is evident from the stalled and increasingly vulnerable reform experience. To be effective, reforms must embrace the whole economy, and not least agriculture and the food-producing and food-processing sectors. This book shows how greater emphasis on the productive sectors, and the adoption of an economy-wide perspective to reform, will greatly enhance the prospects of food security and equitable and sustainable growth."--BOOK JACKET.Title Summary field provided by Blackwell North America, Inc. All Rights Reserved

Prerequisites and priorities for sustainable economic development. The impact of changing export sector incomes on local rurl economies in Sub-Saharan Africa. Macroeconomic policies and the contribution of agriculture to regional economic development. The Uruguay round agreement on agriculture and Sub-Saharan Africa.

The International Food Policy Research Institute gathered experts in agricultural and economic growth from both government and academia to produce this study. Drawing on economic theory and empirical evidence, the contributors discuss the relative merits of alternative economic policies in a variety of countries, including Peru, Nigeria, Pakistan, and the Philippines. Annotation c. by Book News, Inc., Portland, Or.

France is the top agricultural producer in the European Union (EU), and agriculture plays a prominent role in the country’s foreign trade and intermediate exchanges. Reflecting production volumes and methods, the sector, however, also generates significant negative environmental and public health externalities. Recent model simulations show that a well-designed shift in production and consumption to make the former sustainable and align the latter with recommended values can curb these considerably and generate large macroeconomic gains. I propose a policy toolkit in line with the government’s existing sectoral policies that can support this transition.

Examines the interaction between macroeconomic and agricultural sector reforms in developing and East European economies.