Match!

Relationship between agricultural growth and farm imports in LDCs: a Sims' causality test based on 35 countries

Published on Oct 1, 1992in Agricultural Economics2.423
· DOI :10.1016/0169-5150(92)90058-7
Xiling Wu1
Estimated H-index: 1
,
Xianbin Yao1
Estimated H-index: 1
(ADB: Asian Development Bank)
Abstract
Previous empirical studies on the relationship between agricultural growth and farm imports in the LDCs suffer from serious methodological defects, which to some extent may invalidate their results and interpretations. This study used Sims' causality test to examine interactions between agricultural output and agricultural imports for 35 LDCs individually. It was found that there was no causality from agricultural output to agricultural imports for a majority of countries under study. For countries where agricultural growth did have a causal effect on agricultural imports, the effect was positive in some countries and negative in others.
  • References (16)
  • Citations (1)
📖 Papers frequently viewed together
2 Citations
78% of Scinapse members use related papers. After signing in, all features are FREE.
References16
Newest
#1Richard Grabowski (SIU: Southern Illinois University Carbondale)H-Index: 17
#2Subhash C. Sharma (SIU: Southern Illinois University Carbondale)H-Index: 40
Last. Dharmendra Dhakal (SIU: Southern Illinois University Carbondale)H-Index: 10
view all 3 authors...
Abstract The Granger causality test used in this paper indicates that Japanese growth in the prewar period was caused by the growth of the labor force and improvements in agricultural productivity. In the postwar period, growth in exports, labor force, and agricultural productivity caused output growth.
17 CitationsSource
#1R.M. BautistaH-Index: 1
The relationship between agricultural growth and food imports in developingcountries has recently attracted renewed interest among agricultural and trade economists. This is largely in reaction to the strong opposition by farmlobbies in the United States to development assistance programs abroad that promote foodgrain production allegedly to the detriment of U.S. agriculturalinterests,' which in turn was stimulated by the substantial fall in U.S. farm exports since 1981. The major food crops, in...
5 Citations
#1Kym Anderson (University of Adelaide)H-Index: 54
The commonly held view that agricultural-exporting developed countries would lose from agricultural growth in less-developed countries (LDCs) is shown to be based on an incomplete argument. It considers only the effects on LDC agricultural supply, or at best only that and the firstround effects of increased farmer incomes on the demand for tradables. What also needs to be considered is the effect on the demand for nontradables and hence the second-round effects of increased spending by producers...
8 CitationsSource
#1Peter C.Y. Chow (Southeastern Louisiana University)H-Index: 1
Abstract This paper investigates the causal relationship between export growth and industrial development in eight Newly Industrializing Countries (NICs). Results of Sims' causality test show that for most of the NICs, there is a strong bidirectional causality between the growth of exports and industrial development. These findings support the export-led growth strategy in that expansion in exports not only promote the growth of national income but also lead to structural transformation of the d...
397 CitationsSource
#1Margaret S. Andrews (RU: Rutgers University)H-Index: 4
#2Carl E. Pray (RU: Rutgers University)H-Index: 31
4 Citations
3 Citations
A growing body of evidence suggests that farm development in poor countries is not necessarily menacing to U.S. farm trade. To the contrary, by helping to stimulate broadbased income growth in poor countries, which is often followed by dietary enrichment and food import expansion, farm development in poor countries can actually be beneficial to U.S. farm trade. Here we shall review some of the evidence which agricultural economists have recently put forward to support this paradoxical argument, ...
7 CitationsSource
#1Earl D. Kellogg (UIUC: University of Illinois at Urbana–Champaign)H-Index: 4
#2Richard Kodl (UIUC: University of Illinois at Urbana–Champaign)H-Index: 1
Last. Patricia Garcia (UIUC: University of Illinois at Urbana–Champaign)H-Index: 31
view all 3 authors...
International phenomena are having increased influence on U.S. agriculture (Schuh). One dimension of this increased interdependence is the rapid increase in the value of U.S. agricultural exports and imports, 349% and 209%, respectively, since 1970 (Kellogg). The value of U.S. agricultural exports has increased at a rate over twice as fast as total farm gross cash income since 1970-349% versus 155% (USDA, Economic Indicators). Not only have exports increased in importance, but their destination ...
18 CitationsSource
#1Robert S. PindyckH-Index: 56
#2Daniel L. RubinfeldH-Index: 36
The basics of regression analysis introduction to the regression model elementary statistics the two-variable regression model the multiple regression model using the multiple regression model serial correlation and heterosedasticity instrumental variables and model specification forecasting with single-equation regression model risk analysis in investment decision business valuation and corporate restructuring.
3,720 Citations
1,115 CitationsSource
Cited By1
Newest
Efforts to stabilized employment and output in the agricultural sector of Yugoslavia through monetization contributed to inflationary pressures. Granger causality tests suggested that increases in the rate of growth in the supply of money to subsidize state-owned agribusiness were insufficient to maintain purchases of wheat and corn, but did cause purchases of cattle and swine. This result may be explained by producers having more flexibility in grain marketing (i.e., storage options and private...
Source