Why did Denmark, unlike in other 'rich' nations, favour agriculture in the 1920s?
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The reason appears to be the devastation, particularly agricultural, that took place as a result of World War I. By the end the war, Germany and the former Austrian Empire were on the verge of starvation, and the Allies were also short of food.
Under such circumstances, food would be particularly valuable, and command higher prices than usual. Denmark was ideally located to serve the relevant geographical markets, and had been spared the ravages of the war.
While "development" policies are sometimes directed by governments, in other instances, it is a matter of individuals taking advantage of, and responding to incentives in the marketplace. The latter appears to be the case here, with small, self-employed farmers. The Danish government's land policy of dividing large land holdings inadvertently amplified this effect.
Such a policy would actually help a Danish agriculture concentrated on high value-added protein products, milk, cheese, eggs, poultry, meat, in which small farms are more of an advantage than they would be for "mass consumption" products such as wheat.
The economic growth rate of Denmark between 1913-1929 was higher than during most other periods in Danish economic history, so it seemed like the country, or its people, made the right choices during that time.
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