The Role of Nonfarm Activities in the Rural Economy

Abstract

Until quite recently it has been conventional to equate, in a rough way, the rural economy with the agricultural economy. Rural households, containing anywhere from 30 to 70 per cent of the nation’s population, were envisaged as having as their primary function the production of food and fibre for the home market and one or more crops for the export market. In addition to farm production, household members might as secondary activities be engaged in a certain amount of agricultural processing, transporting and marketing.

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