Global Agricultural Value Chains and Structural Transformation

35 Pages Posted: 30 Aug 2021 Last revised: 9 Oct 2022

See all articles by Sunghun Lim

Sunghun Lim

Louisiana State University, Department of Agricultural Economics and Agribusiness

Date Written: August 2021

Abstract

Since the mid-1900s, agricultural global value chains (AGVCs) have grown rapidly and transformed the nature of agri-food production around the world. Little is known, however, about how participation in AGVCs changes the structure of participating economies. Using a constructed panel dataset from 155 countries for the period 1991-2015, I find that, in response to high AGVC participation, both GDP and employment shares in the agricultural and services sectors increase, and that both factors decrease in the manufacturing sector. Counter to conventional wisdom about structural transformation, I uncover evidence that modern agrarian economies are leapfrogging the manufacturing sector to directly develop their agriculture and services sectors through their participation in AGVCs.

Institutional subscribers to the NBER working paper series, and residents of developing countries may download this paper without additional charge at www.nber.org.

Suggested Citation

Lim, Sunghun, Global Agricultural Value Chains and Structural Transformation (August 2021). NBER Working Paper No. w29194, Available at SSRN: https://ssrn.com/abstract=3913837

Sunghun Lim (Contact Author)

Louisiana State University, Department of Agricultural Economics and Agribusiness ( email )

273 Martin D. Woodin Hall Louisiana State Universi
Baton Rouge, LA 70803
United States
225-578-2766 (Phone)

HOME PAGE: http://sites.google.com/view/limsunghun

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
4
Abstract Views
103
PlumX Metrics