Even though urbanization is increasing at a rapid rounding the concept of sustainability, surveys pace, most of the world's poor people still live in rural resource problems and indicative cost estimates, and areas. Thus anyone concerned for the poor should broadly discusses ways in which these problems can have a strong interest in rural development. A second be addressed. In chapter 3, Heath and Binswanger reason for giving appropriate attention to the rural show how natural resource degradation can often be sector is the enormous challenge facing developing policy-induced. Therefore, as a matter of priority, policy countries, which have to satisfy the nutritional needs distortions need to be removed to achieve better of their growing populations. incentives for higher growth and, in many cases, for The production increases of recent decades have environmental reasons. Pretty, in chapter 4, discusses been significant, as a result in part of expansion in in more detail what a policy framework looks like that area and in part of increases in productivity. However, is conducive to sustainable agriculture. As is argued, negative side effects-deforestation, desertification, given the diversity of situations, one does not need a salinization-may impair the capacity to produce fixed model; rather the social process of innovation increasing amounts of food in the future. Clearly, itself must be made sustainable. In chapter 5, Holden much more attention needs to be paid to increasing and Binswanger extensively survey recent research productivity without negatively affecting natural findings on decisionmaking by small farmers, given resources and the environment. In this book, we have the market imperfections and risks they face, and included chapters that summarize applied research on examine the irnplications for sustainable rural develways to meet the challenge. opment policies. Trade liberalization is one part of We have grouped the chapters into three parts. The improving the overall incentive framework. first one takes a policy perspective, the second takes Anderson, in chapter 6, discusses the economic and an institutional and social perspective, and the third environmental impacts of this. In chapter 7, Bromley looks at rural development mainly from a technical distills key lessons from research and project experiperspective. In actuality, all three are intertwined. ence dealing with property regimes and development Each of the three parts opens with an introduction and and assesses the policy implications. His chapter summary. would fit equally well into part II. A short chapter by The chapters in part I discuss policy perspectives Hazell (chapter 8) concludes part I. It is almost too and make the case that an appropriate policy frame- short to be a free-standing chapter, but it serves to work is essential to achieving sustainable rural devel- summarize part I by discussing the key ingredients of opment. We start with a chapter by Hazell and Lutz sustainable ruiral development policies in terms of (chapter 2) that deals with definitional issues sur- growth, equity, poverty, and environmental concerns.