Creating Good Employment Opportunities for the Rural Sector

Abstract:     
This paper examines the potential for sector-specific productivity growth, human capital, credit markets, and infrastructure to contribute to the development of stable, well-paid employment in rural areas of low-income countries. Particular emphasis is placed on the way that different sectors of the rural economy interact with each other and with local and regional product markets. A simple theoretical framework and descriptive analysis of panel data from India suggests that more emphasis should be placed on increasing the production of goods that incorporate local agricultural products as inputs.

Number of Pages in PDF File: 35

Keywords: productivity growth, nonfarm employment, agriculture, wages, value-added production, quality employment

JEL Classification: J31, O12, O13, O15, O18

working papers series