Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments April 10, 2007 erstellt
Description:
This paper provides empirical evidence of nonlinearity in the relationship between crop specialization in a village economy and the extent of the market (size of the urban market) relevant for the village. The results suggest that the portfolio of crops in a village economy becomes more diversified initially as the extent of the market increases. However, after the market size reaches a threshold, the production structure starts to specialize again. This evidence on the stages of agricultural diversification is consistent with the stages of diversification identified in the recent literature for the economy as a whole and also for the manufacturing sector. The evidence also indicates the existence of a monotonically increasing relationship between the degree of market participation among the households in a village and the extent of the relevant urban market