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| Srl | Item |
| 1 |
ID:
104899
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| Publication |
2011.
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| Summary/Abstract |
Agriculture has an important role in every country's development. Particularly, the contribution of agriculture to development and competitiveness is increasing with agricultural productivity growth. Productivity, in turn, is closely associated with direct and indirect use of energy as an input. Therefore, the importance of energy in agriculture cannot be denied as one of the basic inputs to the economic growth process. Following the importance of energy in Turkish agriculture, this study aims to estimate the long- and short-run relationship of energy consumption, agricultural GDP, and energy prices via co-integration and error correction (ECM) analysis. Annual data from 1970 to 2008 for diesel and electricity consumptions are utilized to estimate long-run and short-run elasticities. According to ECM analysis, for the diesel demand model, the long-run income and price elasticities were calculated as 1.47 and -0.38, respectively. For the electricity demand model, income and price elasticities were calculated at 0.19 and -0.72, respectively, in the long run. Briefly, in Turkey, support for energy use in agriculture should be continued in order to ensure sustainability in agriculture, increase competitiveness in international markets, and balance farmers' income.
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| 2 |
ID:
150753
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| Summary/Abstract |
This study investigates the relationship between agricultural electricity consumption and agricultural output for a panel of 12 regions of Turkey for the period 1995–2013. In order to reveal the possible heterogeneity between regions, empirical analyses are conducted for the whole panel data and two sub-groups within the panel data; namely, coastal regions and non-coastal regions. The results from several panel unit root tests indicate that electricity consumption and output are stationary process at their levels for overall panel and the two specific groups. By using the OLS with regional fixed effects, this study finds that coefficient estimate of electricity consumption on output is statistically significant and positive for overall regions, coastal regions and non-coastal regions. In addition, the results from the Dumitrescu-Hurlin Granger causality test show that there is unidirectional causality running from agricultural output to electricity consumption for non-coastal regions, and there is bidirectional causality between agricultural electricity consumption and output for overall panel and coastal regions. Findings and policy implications are further discussed.
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