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Abstract

This paper presents a critical review on the literature related to technological change in agriculture, and makes a brief description of the alternative approach for agricultural growth. In the traditional literature, technological diffusion, productive dualism and induced innovation are studied. In the dynamic view, the alternative approach of agricultural growth is discussed together with the importance of innovation process and the ability to explore external knowledge. The major limitation of traditional thinking about agricultural growth is the absence of explanations on innovation and learning process. The agricultural sector must recognize that not all technological development and new knowledge come with the acquisition of inputs. Agriculture does not cater to the means of agents who will simply be the receptors of technology. The innovation process within agriculture is organized through complex, production systems, as well as institutions, both private and public, which promote knowledge. Investments and experimentation activities occur within the unit of production, thus creating a wider knowledge stock and a larger absorptive capacity, in addition to fostering the private appropriation of productive gains.

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