Abstract
It is argued in this article that the meaning or bias of any particular package of new techniques is dependent upon the social structure within which the new technology is applied. Thus in certain structures high‐yielding technologies increase the demand for labour, provide additional income for small farmers, and lower relative food prices. In other social structures, the poverty‐reducing impact of such a technology is significantly blunted. Within this context, the theory of induced technical innovation seems to lose much of its meaning.
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