The adverse economic events following the First World War turned me toward economics... I learned during my youth how hard it was for farm families t… - Theodore Schultz

There are comparatively few significant inefficiencies in the allocation of the factors of production in traditional agriculture.

Most people in the world are poor. If we knew the economy of being poor, we would know much of the economics that really matter. Most of the world's poor people earn their living in agriculture. If we knew the economics of agriculture, we would know much of the economic of being poor.

[Schultz specifically refers to the manner in which inputs are used when he states that one implication of his] efficient but poor hypothesis... [is] that the combination of crops grown, the number of times and depth of cultivation, the time of planting, watering, and harvesting, the combination of hand tools, ditches to carry water to the fields, draft animals and simple equipment -- are all made with a fine regard for marginal costs.