diversify their agricultural production, increases the demand for unskilled labour in agriculture, and also enable to work more in off-farm activities. farmers’ Rural transformation through expansion of off-farm employment during the middle and later periods of rural transformation (Stage 3, Table 4) is particular important for raising income and further poverty reduction. Recent studies have showed farmers’ that the rates of rural poverty deduction are generally in accordance with the extent of off-farm labour participation among the developing countries in Asia (Haggblade et al., 2010; Misra, 2014; OECD, 20115; Huang et al., 2008). Table 4. Paths of rural transformation, IPIs and sequence of IPIs. Stage Paths of transformation Additional IPIs in each stage and sequence 1 Primary on staple food Institutions (e.g., land), water infrastructure, production and technology 2 Agri. diversification Plus: market reform, road and market infrastructure 3 Rising non-farm employment 3.1 Farming and part time Plus: support local SMEs (labor intensive- non-farm employment industrialization in rural area) 3.2 Increasing specialization on Plus: accelerate urbanization; labor and land farming or non-farm rental market; food safety employment 3.3 Agri. mechanization and more Plus: supports for land consolidation, farm off-farm employment mechanization, sustainable agriculture 4 Rural urbanization and Plus: eliminate discrimination between rural integrated urban-rural and urban and among regions in all aspects; development targeting poverty reduction 3.3 inclusive rural transformation and innovations China’s China is a typical case of classical rural transformation with the following major experiences and innovations. agricultural transformation increases incomes and facilitates China’s farmers’ structural transformation. The rise in income provides capital farmers’ accumulations for industrialization. The successful agricultural transformation lowers agricultural commodity prices and provides more diversified agricultural products, which accelerates the development of agriculture-related industries (usually labour-intensive industries such as agricultural input manufacture, food processing, food marketing chain, an textile). The agricultural transformation resulted from increase in labour productivity can also supplies large number of cheap labour force for the expansion of industry and service sectors in both rural and urban areas. The expansion of labor-intensive industry and service sectors, urbanization and economic structure transformation provide huge employment opportunities for rural labour force. Rising rural labour non-farm employment increases farmers’ income and reduces the rural poverty population, and therefore stimulates inclusive rural transformation.
diversify their agricultural production, increases the demand for unskilled labour in agriculture, and also enable farmers’ to work more in off-farm activities. Rural transformation through expansion of off-farm employment during the middle and later periods of rural transformation (Stage 3, Table 4) is particular important for raising farmers’ income and further poverty reduction. Recent studies have showed that the rates of rural poverty deduction are generally in accordance with the extent of off-farm labour participation among the developing countries in Asia (Haggblade et al., 2010; Misra, 2014; OECD, 20115; Huang et al., 2008). Table 4. Paths of rural transformation, IPIs and sequence of IPIs. Stage Paths of transformation Additional IPIs in each stage and sequence 1 Primary on staple food production Institutions (e.g., land), water infrastructure, and technology 2 Agri. diversification Plus: market reform, road and market infrastructure 3 Rising non-farm employment 3.1 Farming and part time non-farm employment Plus: support local SMEs (labor intensive- industrialization in rural area) 3.2 Increasing specialization on farming or non-farm employment Plus: accelerate urbanization; labor and land rental market; food safety 3.3 Agri. mechanization and more off-farm employment Plus: supports for land consolidation, farm mechanization, sustainable agriculture 4 Rural urbanization and integrated urban-rural development Plus: eliminate discrimination between rural and urban and among regions in all aspects; targeting poverty reduction 3.3 China’s inclusive rural transformation and innovations China is a typical case of classical rural transformation with the following major experiences and innovations. China’s agricultural transformation increases farmers’ incomes and facilitates structural transformation. The rise in farmers’ income provides capital accumulations for industrialization. The successful agricultural transformation lowers agricultural commodity prices and provides more diversified agricultural products, which accelerates the development of agriculture-related industries (usually labour-intensive industries such as agricultural input manufacture, food processing, food marketing chain, an textile). The agricultural transformation resulted from increase in labour productivity can also supplies large number of cheap labour force for the expansion of industry and service sectors in both rural and urban areas. The expansion of labor-intensive industry and service sectors, urbanization and economic structure transformation provide huge employment opportunities for rural labour force. Rising rural labour non-farm employment increases farmers’ income and reduces the rural poverty population, and therefore stimulates inclusive rural transformation.
huang-jikun---innovation-and-economic-development-in-rural-china_20160508.docx