Size – Productivity Relationship in Pakistan’s Agriculture in the Seventies

A large majority of the less developed countries, including Pakistan, suffer from low levels of productivity in agriculture. In view of the scarcity of farm land and the limitations of intensive margins of cultivation, the importance of raising these levels may not be underestimated in terms of a more judicious use of labour force, rapid growth of agricultural production and increased availability of funds for industrial development. Productivity gains favouring well-to-do farmers, however, may produce undesirable results such as deterioration of income inequalities, political instability and social unrest, and must be avoided as far as possible. It is in this context that the distribution of productivity gains among various size groups should be taken to be as important as the aggregate growth of farm productivity, if not more.