Agricultural productivity increases are one of the desired outcomes from sensible food security and agricultural policies. Increased productivity might lead to improved welfare of rural populations through several pathways. First, increased productivity leads to higher food availability at the household level. Second, increased food availability leads to lower prices of agricultural products and higher real wages, to the benefit of poor net buyers and wage laborers respectively. Third, a well-performing agricultural sector has important economic multiplier effects on the vibrancy of the off-farm rural economy.
In this study, we look at patterns and determinants of agricultural productivity and technology adoption in Bhutan. We do so by using recent information of the national Census conducted in 2009. We also look more in detail at the effects of road infrastructure and remoteness on agriculture given the pledge of the new government to improve connectivity of the geogs in the country.