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Modelling the adoption of HYV technology in developing economies may be effectively prosecuted at the microlevel in a non-separable, decision-theoretic system. The degree of adoption of high-yielding varieties of rice can be incorporated into the household decision framework and account can be taken of imperfections in labour and commodity markets. Despite the gap between theory and practice, an embryonic empirical model is implemented using survey data from Orissa, India to appraise the effectiveness of a range of agricultural policies on farm-family welfare, farm output, marketed surplus of food and rural employment.


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