IE270 1st Edition Lecture 10 Outline of Last Lecture II. Agriculture, food and economic developmentIII. Economic developmentIV. Common measuresV. Historic viewsVI. History of economic developmentOutline of Current Lecture VII. Critical Improvements in Agriculture productivityVIII. U.S. Agriculture DevelopmentIX. Developing countries today X. Current thinking on basic development strategyXI. Millennium Development Goals and targets for 2015XII. MDG expiring at end of 2015XIII. Getting to the root of global food security XIV.Conclusions Current LectureCritical Improvements in Agriculture Productivity 1) Improvements in harvest technology (sickle, scythe, cradle, combine)2) More intensive use of land and soil nutrient management(Fallow field rotations, nutrientinputs)3) Improvement in crop varieties/ crop genetics (potato, maze, small grains)U.S. Agriculture Development - 1700-1900 expanded land cover of agriculture- Stagnation of grain yields by 1900- Take off in agricultural productivity starting in 1930s due to a combination of:1. Improved crop varieties from breeding programs and hybrid seeds2. Industrial inputs like chemical fertilizers and pesticides3. Mechanization of agriculture with tractors, combines, etc. Developing countries todayThese notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.Developing countries are making a similar transition to the one that Europe, the U.S. and Japan made in the 1930s.- But they are doing it much faster- However, many countries are following a misguided conventional wisdom that there is surplus labor in agriculture1. Labor that can be “Withdrawn” from agriculture at little or no cost to the economy to drive growth of industry2. Encouraged by a range of policies- Land taxation- Export taxes (tariffs)- Protection of agriculture input industries- Price controlsCurrent thinking on basic development strategy1. Invest in human capital (health, education, trade skills)2. Invest in physical public infrastructure(roads, bridges, port, rail)3. Link to global markets (decrease tariffs, enhance trade)4. Form institutions that promote capital accumulation ( savings & lending finance)5. Only selectively intervene in the market place(let the “invisible hand” do its job)Millennium Development Goals and targets for 2015 1. Eradicate extreme poverty and hunger2. Achieve universal primary education3. Promote gender equality and empower women4. Reduce child mortality5. Improve maternal health6. Combat HIV/AIDS, malaria, and other diseases7. Ensure environmental sustainabilityMDG expiring at end of 2015- MDGs have had mixed results- A new set of goals, THE SUSTAINABLE DEVELOPMENT GOALS, will be adopted by the UN to guide the world until 2030- Some Challenges Exist:1. How to define poverty2. New models for mobilizing financing from donor countries Getting to the root of global food security - Food security is an issue of POVERTY- Poverty is predominantly (2/3rds) rural worldwide- The principle economic engine of rural area is agriculture- The root of food security income growth among poor, rural, (and thus agriculture) peopleCONCLUSIONS- Many improvement, but improvements are likely to fall short of the MDGs in many areas. Very large challenges remain.- Agriculture should be utilized as a pathway toward development rather than shunned as a sector to move away from.- The problems of food security are not static- All 3 part of the problem of global food security are changing as economies develop:1. Demand2. Supply3. Changes in