this article is saying that rual people demand more wheat per capita than their urban neighbors. it is also saying that meat and fresh fruit are not always readily available in rural areas. this leads me to believe that it is the dwarf wheat industry and not the family farm that is leading china out of starvation which blows your argument out of the water.
http://www.agecon.ucdavis.edu/faculty_pages/rozelle/pdfs/ms uwheat.pdf
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