Impact of financial development on agricultural productivity in South Asia
The paper examines the impact of financial development on agricultural productivity in South Asia using data for the period 1973-2015. The other variables included are physical capital, human capital, trade openness and income level. It is found that all variables have cross-section dependence and t...
| Main Authors: | , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Czech Academy of Agricultural Sciences
2019-05-01
|
| Series: | Agricultural Economics (AGRICECON) |
| Subjects: | |
| Online Access: | https://agricecon.agriculturejournals.cz/artkey/age-201905-0004_impact-of-financial-development-on-agricultural-productivity-in-south-asia.php |
| _version_ | 1828009408798392320 |
|---|---|
| author | Muhammad Zakaria Wen Jun Marium Farrukh Khan |
| author_facet | Muhammad Zakaria Wen Jun Marium Farrukh Khan |
| author_sort | Muhammad Zakaria |
| collection | DOAJ |
| description | The paper examines the impact of financial development on agricultural productivity in South Asia using data for the period 1973-2015. The other variables included are physical capital, human capital, trade openness and income level. It is found that all variables have cross-section dependence and they are stationary at first differences. It is found that long-run cointegration holds among variables. The estimated results show that financial development has an inverted U-shaped effect on agricultural productivity, which implies that agricultural productivity first increases with the increase in financial development and then it declines when financial development further increases. Agricultural productivity increases with the increase in both physical and human capitals. Agricultural productivity also improves with trade openness and income level. The results of the robustness analysis show that terms of trade has a negative effect on agricultural productivity. Further, industrialisation has positive while carbon emission and rural labour force have negative effects on agricultural productivity in the region. |
| first_indexed | 2024-04-10T08:37:50Z |
| format | Article |
| id | doaj.art-2d9dc78a9da1446aa3e719f8931b6ea7 |
| institution | Directory Open Access Journal |
| issn | 0139-570X 1805-9295 |
| language | English |
| last_indexed | 2024-04-10T08:37:50Z |
| publishDate | 2019-05-01 |
| publisher | Czech Academy of Agricultural Sciences |
| record_format | Article |
| series | Agricultural Economics (AGRICECON) |
| spelling | doaj.art-2d9dc78a9da1446aa3e719f8931b6ea72023-02-23T03:25:20ZengCzech Academy of Agricultural SciencesAgricultural Economics (AGRICECON)0139-570X1805-92952019-05-0165523223910.17221/199/2018-AGRICECONage-201905-0004Impact of financial development on agricultural productivity in South AsiaMuhammad Zakaria0Wen Jun1Marium Farrukh Khan2School of Economics and Finance, Xi'an Jiaotong University, Xi'an, Shaanxi, P.R. ChinaSchool of Economics and Finance, Xi'an Jiaotong University, Xi'an, Shaanxi, P.R. ChinaDepartment of Management Sciences, COMSATS University Islamabad, Islamabad, PakistanThe paper examines the impact of financial development on agricultural productivity in South Asia using data for the period 1973-2015. The other variables included are physical capital, human capital, trade openness and income level. It is found that all variables have cross-section dependence and they are stationary at first differences. It is found that long-run cointegration holds among variables. The estimated results show that financial development has an inverted U-shaped effect on agricultural productivity, which implies that agricultural productivity first increases with the increase in financial development and then it declines when financial development further increases. Agricultural productivity increases with the increase in both physical and human capitals. Agricultural productivity also improves with trade openness and income level. The results of the robustness analysis show that terms of trade has a negative effect on agricultural productivity. Further, industrialisation has positive while carbon emission and rural labour force have negative effects on agricultural productivity in the region.https://agricecon.agriculturejournals.cz/artkey/age-201905-0004_impact-of-financial-development-on-agricultural-productivity-in-south-asia.phpagricultural productivitycointegrationfinancial developmentsouth asia |
| spellingShingle | Muhammad Zakaria Wen Jun Marium Farrukh Khan Impact of financial development on agricultural productivity in South Asia Agricultural Economics (AGRICECON) agricultural productivity cointegration financial development south asia |
| title | Impact of financial development on agricultural productivity in South Asia |
| title_full | Impact of financial development on agricultural productivity in South Asia |
| title_fullStr | Impact of financial development on agricultural productivity in South Asia |
| title_full_unstemmed | Impact of financial development on agricultural productivity in South Asia |
| title_short | Impact of financial development on agricultural productivity in South Asia |
| title_sort | impact of financial development on agricultural productivity in south asia |
| topic | agricultural productivity cointegration financial development south asia |
| url | https://agricecon.agriculturejournals.cz/artkey/age-201905-0004_impact-of-financial-development-on-agricultural-productivity-in-south-asia.php |
| work_keys_str_mv | AT muhammadzakaria impactoffinancialdevelopmentonagriculturalproductivityinsouthasia AT wenjun impactoffinancialdevelopmentonagriculturalproductivityinsouthasia AT mariumfarrukhkhan impactoffinancialdevelopmentonagriculturalproductivityinsouthasia |