Agriculture and Economy

Definition and Importance of Agriculture

• Agriculture is the utilization of biological processes on farms to produce food and other products essential to human life.
• It is both a "way of life" and a "means of life" for people involved in the industry.

Role of Agriculture in the Philippine Economy

• Philippine agriculture plays a vital role in the economy.
• It is a priority to transform agriculture into a modern, dynamic, and competitive sector.
• Sustained growth in the agricultural sector is necessary for a sustained expansion of the national economy.

Agriculture's Dominance in the Philippine Economy

• Agriculture, including forestry and fishery, plays a dominant role in the Philippine economy.
• The country's population is predominantly rural, with 70% living in rural areas.
• Two-thirds of the rural population depends on farming for their livelihood.

Employment and Agricultural Activities

• About one-half of the labor force is engaged in agricultural activities.
• Philippine agriculture consists of various production activities, including:
  • Rice production
  • Corn production
  • Coconut production
  • Sugar production
  • Banana production
  • Livestock production
  • Poultry production
  • Other crops production
  • Fishery production

Agriculture and Rural Economy

• Agriculture is the foundation of the rural economy, where most Filipinos, including the country's labor force, reside.
• The majority of rural Filipinos are poor.

Contribution of Agriculture to the Economy

• Agriculture accounts for about one-fifth of the country's gross domestic product.
• One-third of the population is employed in agriculture or agriculture-related industries.

Types of Contributions of Agricultural Sector

• Product contribution: making available food and raw materials.
• Market contribution: providing the market for producer goods and consumer goods produced in the non-agricultural sector.
• Factor contribution: making available labor and capital to the non-agricultural sector.
• Foreign Exchange contribution: earning foreign exchange through agricultural exports.

This quiz covers the importance of agriculture in the economy, its role in the national economy, and the need to transform it into a modern sector.