The rest of the world is fed because of the use of good seed and inorganic fertilizer. This technology has not been used in most of Africa. The only way you can help farmers get access to it is give it away free or subsidize it heavily.” -Stephen Carr, former World Bank specialist on Sub-Saharan African agriculture. In light of more contemporary approaches that view underdevelopment as a coordination failure, use the O-ring and pecuniary externalities models discussed in class to explain why a policy intervention based on the above statement may not bear the expected results. Support your answer by critically assessing the underlying assumptions behind the statement through the models
The rest of the world is fed because of the use of good seed and inorganic fertilizer. This technology has not been used in most of Africa. The only way you can help farmers get access to it is give it away free or subsidize it heavily.” -Stephen Carr, former World Bank specialist on Sub-Saharan African agriculture. In light of more contemporary approaches that view underdevelopment as a coordination failure, use the O-ring and pecuniary externalities models discussed in class to explain why a policy intervention based on the above statement may not bear the expected results. Support your answer by critically assessing the underlying assumptions behind the statement through the models
Chapter23: Growth And Less Developed Countries
Section: Chapter Questions
Problem 4SQ
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The rest of the world is fed because of the use of good seed and inorganic fertilizer. This technology has not been used in most of Africa. The only way you can help farmers get access to it is give it away free or subsidize it heavily.” -Stephen Carr, former World Bank specialist on Sub-Saharan African agriculture.
In light of more contemporary approaches that view underdevelopment as a coordination failure, use the O-ring and pecuniary externalities models discussed in class to explain why a policy intervention based on the above statement may not bear the expected results. Support your answer by critically assessing the underlying assumptions behind the statement through the models
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