Schultz

The basic characteristics of traditional agriculture are the basic premise of transforming traditional agriculture, and it is also an area where there are many wrong theories for a long time.

Schultz believes that traditional agriculture is an economic concept, so it cannot be analyzed according to other non-economic characteristics, but should be analyzed from the economy itself.

He said: "Agriculture based entirely on various factors of production used by farmers for generations can be called traditional agriculture".

From the perspective of economic analysis, "traditional agriculture should be regarded as a special type of economic equilibrium".

This state of equilibrium is characterized by:

1) The technical situation will remain basically unchanged for a long time (that is, the production factors and technologies used will remain unchanged for a long time);

2) If the factor of production is regarded as the source of income, then the motivation to acquire and hold this factor of production will remain unchanged for a long time, that is, people have no motivation to increase the traditional factor of production;

3) Due to the above reasons, the supply and demand of traditional production factors are also in a long-term equilibrium state.

From the above analysis, the traditional agriculture mentioned by Schultz is actually a small-scale peasant economy that has not changed for a long time, basically maintaining simple reproduction and long-term stagnation.

* Books: Transforming traditional agriculture/[America] by Schulz; Translated by Liang. Beijing: Commercial Press, 20 1 1.