In most developing countries, the rural labor force is growing rapidly, but rural employment opportunities are dwindling. This paper brings together empirical evidence on the nonfarm sector and analyzes policies for its future development. It examines the linkages between the farm and nonfarm sectors and between the nonfarm sector and urban enterprises, and considers ways the government can promote rural employment.

Research paper on a literature survey of nonfarm employment activities and issues in developing countries - examines importance of non- farm rural employment, rural area income, labour productivity, rural industry size of enterprise, tariff policy, technical and management assistance for rural development projects. Bibliography pp. 85 to 96.