Economic Implicaiions 161 



the investment has paid handsomely in terms of development 

 and economic gains. It is, perhaps, unnecessary to stress the fact 

 that to be successful, a research system has to be well organized, 

 properly equipped, and in tune with the problems of the region. 

 The data we succeeded in gathering did not permit a comprehen- 

 sive analysis of the research organization itself, but the finding, in 

 chapter 2, that the productivity of the agricultural research 

 system is highly correlated with (perhaps dependent on) the level 

 of general biological scientific activity, suggests the conclusion 

 that scientific considerations should rank high in agricultural 

 research systems. This conclusion was also reached in a study of 

 the American research system (Evenson 1968), where the pro- 

 ductivity of the research organization was found to be correlated 

 with the size of the experiment station and with the existence of a 

 graduate training activity that requires interaction of the teacher- 

 researcher in agriculture with his colleagues in the basic biologi- 

 cal sciences. 



Perhaps as important as the conclusion that research matters is 

 the finding that the potential contribution to development is 

 higher in research than in extension. The role of extension will 

 become more important as the research systems are 

 strengthened. The flow of new knowledge created, hopefully 

 suited to local conditions, will have to be transferred and in- 

 terpreted to the farmers. 



Further Issues 



The high rates of return in table 9.1 indicate that investment in 

 agricultural research has been far from optimal. With the benefit 

 of hindsight, it can be said that, had most developing countries 

 aggressively pursued the building of research institutions and the 

 acquisition of scientific skills at much higher rates than actually 

 pursued, it would have paid off handsomely. The real economic 

 growth purchased with the research dollar has been several times 

 greater than that purchased with the extension dollar, or the ''in- 

 tensification" dollar. 



One is prompted to ask why, after twenty years of development 

 aid and the expenditure of millions of dollars, has progress not 

 been greater in the development of research capability in most 



