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The important economic effects of the Green Revolution are :

1. Increase in Agricultural Production: The first major direct effect of the green revolution has been the sharp increase in agricultural production. As a result of new agricultural strategy, food grains output increased substantially.

So far as food grains are concerned, wheat seems to have made rapid strides with its production increasing from 11.1 million tons in the Third Plan (annual average) 63 million tons in 1995-96.

In the second phase, the revolution has spread to other crops. Most of the important crops registered a sizable increase during the seventies.

2. Increase in Productivity: The productivity of agriculture, as measured in terms of yield per hectare, has increased.

3. Impact on Employment: Capital-intensive techniques of the new agricultural strategy are supposed to be also at the same time labor-intensive. This new technology is characterized by frequent application of water, fertilizers, insecticides, double cropping, larger volumes of transportation, Marketing and food-processing. This will lead to increased employment and increased income among the agricultural laborers and small farmers.

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