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Abstract

This explores the welfare effects of some persistent trends in some developing countries on different groups of farmers. It takes a general equilibrium approach in modelling a representative developing economy comprising a manufacturing sector and an agricultural sector where both self-cultivating landlords and tenants carry on production. It is shown that while population growth tends to depress welfare of both the tenant and the landlord, Green Revolution has the opposite effect such that when both trends are present, peasants may or may not be better off. An adverse movement in the agricultural terms of trade reduces welfare of the landlord, but the tenant is made better off.

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