Investig
Investigation
of relationship between agricultural growth and macroeconomic variables in Iran
Masoud Dehdashti 1,
Hamid Mohammadi 2
1. Department of Economics and Management,
Dashtestan Branch, Islamic Azad University, Dashtestan, Iran; 2. Department
of Agricultural Economics, University of Zabol, Zabol, Iran. [email protected]
Abstract: Agriculture
is one of the main sectors of Iranian economy that contributes to economic
growth and it can release Iranian economy from depending on single-product
situation. Agriculture sector like other sector is affected from changes in
macroeconomic variables. During passing to a developed agriculture, it is
important to consider the macroeconomic variables relation as the relations
affect the economic policies efficiency and agricultural growth. Investigating
these variables impacts on agriculture sector may help policy makers and
planers. This study investigates dynamic relation between agricultural sector
income and macroeconomic variables in integration framework during 1338-1387.
To get the study objective, autoregressive distributed lag (ARDL) approach and
Johansson integration model was used. Findings of the study showed a long-run
relationship between selected macroeconomic variables and agriculture sector
income. There is a positive (negative) relation between agriculture prices
and agriculture income in short run (lung run) . We also found a negative
(positive) relation between interest rate (exchange rate) and agriculture
income in short and long run. A positive relation in short run and negative
relation in lung run also are expected between money volume and agriculture
income. Oil income has a positive and significant impact on agriculture income;
however, it is unimportant in value and occurs with time lag.
[Dehdashti M, Mohammadi H. Investigation of
relationship between agricultural growth and macroeconomic variables in Iran. J
Am Sci 2012;8(10):728-737]. (ISSN: 1545-1003).http://www.jofamericanscience.org. 98
Keywords: Interest rate, Money volume, Oil income, Agriculture
sector Full Text 98
