Impact of urban migration on rural development. Theoretical considerations and empirical evidence from Southern Nigeria
Essang, S.M.; Mabawonku, A.F.
Developing Economies 13(2): 137-149
1975
ISSN/ISBN: 0012-1533 DOI: 10.1111/j.1746-1049.1975.tb00348.xDocument Number: 266208
This analysis indicates that in the early stages of development in a labour surplus economy with considerable disguised unemployment in agriculture, rural-urban migration has positive consequences on urban industrial development. However, once migration proceeds to a stage at which the marginal product of agricultural labour is positive, continued out-migration from agriculture leads to a fall in farm output and a consequent worsening of the terms of trade for the urban industrial sector. If this situation is not arrested through inputs of new farm technology, the resultant fall in food production and high prices will lead to wage demands, falling profits and a decline in total investment. At the same time the age-selection aspect of migration tends to result in a rural population largely made up of children and old men who are incapable of running farms efficiently. At the same time migration tends to increase man/land ratios and hence farm size of affected families. A dependence on hired labour results. The findings also indicate that in the case of Nigeria's large-scale export orientated enterprises, labour supply is a problem. The difficulty of recruiting plantation labour is now a serious problem. Contrary to other studies elsewhere, this analysis also finds that rural-urban migration involves a net transfer of funds out of rural areas.