A NEW PERSPECTIVE ON UNDERINVESTMENT IN AGRICULTURAL R&D



The other set of explanatory factors relates to why governments underinvest in public
agricultural R&D. Possible explanations are a lack of information, suboptimal selection mechanisms,
budget rigidity, the excess burden due to taxation, and last but not least, a lack of political will and
organizational capacity in society. Improvements in each of these factors should bring the
underinvestment gap down.

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