ABSTRACT

In this chapter we define the concept of structural transformation (ST) and proceed by looking at its history. Although the classical theories saw the process as automatic, closer inspection, we argue, reveals a fundamental role in it for policy and other institutional factors. This leads us to review western policy responses to agrarian distress before looking at the role of agriculture in development policy more generally. Against this background, agrarian development policies in the excolonies and especially the Indian experience are reviewed. Looking at the historical evidence in the Indian case one can ask: what is the role of policy for her specific patterns of transformation? But before being able to address this question, we need to look at the concept of agrarian ST and its history.