The past experience indicates that over the last three decades, the production of goods
and services has increased faster than population. In general, great progress has been
achieved in the field of primary education and health care. Life expectancy has risen, while
illiteracy has clearly fallen. The quality of live has also improved. However, living standards
remain low among the lower class; agricultural workers and small farmers. It is commonly
asserted that absolute poverty in rural areas was declining during the 1950s to the 1970s.
However, the general depression in the world commodity markets after the 1980s adversely
impinged on Thai farmers at large. As a consequence, the rural poverty which tended to
decline, instead started to rise after the early 1980s. Inequality has virtually risen and there is
no question that the degree of inequality in Thailand is widening with the poorest engaged in
the agricultural sector. The government intervention by all means is responsible for this
performance as rightly observed by Timmer (1991) as follows:
The past experience indicates that over the last three decades, the production of goodsand services has increased faster than population. In general, great progress has beenachieved in the field of primary education and health care. Life expectancy has risen, whileilliteracy has clearly fallen. The quality of live has also improved. However, living standardsremain low among the lower class; agricultural workers and small farmers. It is commonlyasserted that absolute poverty in rural areas was declining during the 1950s to the 1970s.However, the general depression in the world commodity markets after the 1980s adverselyimpinged on Thai farmers at large. As a consequence, the rural poverty which tended todecline, instead started to rise after the early 1980s. Inequality has virtually risen and there isno question that the degree of inequality in Thailand is widening with the poorest engaged inthe agricultural sector. The government intervention by all means is responsible for thisperformance as rightly observed by Timmer (1991) as follows:
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