Causality Relationship Between Agricultural Support and Agricultural Production In BRICS-T Countries: Bootstrap Causality Analysis Cover Image

BRICS-T Ülkelerinde Tarımsal Destekler ve Tarımsal Üretim Arasındaki Nedensellik İlişkisi: Bootstrap Nedensellik Analizi
Causality Relationship Between Agricultural Support and Agricultural Production In BRICS-T Countries: Bootstrap Causality Analysis

Author(s): Kenan KOÇ, Hüseyin İŞLEK
Subject(s): Business Economy / Management, Agriculture, Comparative politics
Published by: SD Yayınevi
Keywords: BRICS-T; Agriculture; Agricultural Support; Panel Data; Bootstrap Causality;

Summary/Abstract: Despite serious changes from the past to the present agriculture still has an important role for individuals and societies. Agriculture is vital for countries at different levels. In addition to the contribution of agricultural production to national income, employment created by the agricultural sector also contributes to the economy. Especially developing countries provide serious support for the development of the agriculture. In this direction, the causality relationship between agricultural supports and agricultural production in BRICS-T(Brazil, Russia, India, China, South Africa-Turkey) countries, has been examined bye annual data covering the period 2000-2016. We used Konya (2006) panel causality test. Konya (2006) test uses the SUR equation estimation method introduced by Zellner (1962). This test is developed for heterogeneous panels with cross-section dependence and obtains its critical values using the bootstrap method and does not require preliminary tests such as unit root and cointegration. According to the results; in Turkey and China, there is bidirectional causality between agricultural supports and agricultural production. For Brazil and Russia, there is a one-way causality from agricultural supports to agricultural production. While there is a oneway causality relationship from agricultural production to agricultural supports for South Africa, no causality relationship has been found for India.

  • Issue Year: 6/2020
  • Issue No: 12
  • Page Range: 284-295
  • Page Count: 12
  • Language: Turkish