2010
DOI: 10.1111/j.1477-9552.2010.00265.x
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Patterns of Rural Development: A Cross‐Country Comparison using Microeconomic Data

Abstract: This article proposes a general pattern of rural development in which increases in per capita income are associated with a decline in the importance of agricultural production and a rise in the importance of non-agricultural income sources. Following the approach to examining Engel's Law, we use data from 15 developing countries and a merged dataset to test whether such a pattern emerges. The analysis shows a strong, positive relationship between per capita income and the share of income earned from rural non-… Show more

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Cited by 34 publications
(38 citation statements)
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References 22 publications
(33 reference statements)
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“…Literature points out that these mutations can be explained by the willingness of rural households to respond to the opportunities of liberalizing agricultural markets (Delgado and Siamwalla, 1997) or face the risk of subsistence (Losch et al, 2011;Winters et al, 2010). These changes have important effects on the well-being and poverty reduction in rural households (Blocks and Webb, 2001).…”
Section: Introductionmentioning
confidence: 99%
“…Literature points out that these mutations can be explained by the willingness of rural households to respond to the opportunities of liberalizing agricultural markets (Delgado and Siamwalla, 1997) or face the risk of subsistence (Losch et al, 2011;Winters et al, 2010). These changes have important effects on the well-being and poverty reduction in rural households (Blocks and Webb, 2001).…”
Section: Introductionmentioning
confidence: 99%
“…Recent studies in Sub-Saharan Africa (SSA) indicate that rural households are increasingly diversifying their income sources by combining farm and non-farm activities to sustain their livelihoods [4,5,6,7,8]. That asset, activity and income diversification characterize the livelihood strategies of rural households in rural Africa [9].…”
Section: Introductionmentioning
confidence: 99%
“…Similar to the FLM, the FMLM is estimated by using a quasi-maximum likelihood method, which includes robust standard errors (Buis, 2008). There have been a growing number of studies applying the FMLM to handle models containing a set of fractional response variables with shares that add up to one (Kala, Kurukulasuriya and Mendelsohn, 2012;Winters et al, 2010).…”
Section: Specification O F Econometric Modelsmentioning
confidence: 99%