Analysis of the role of research and development and the volume of imports on agricultural total factor productivity in Iran

Subject Areas : Applied Economics

علی باقرزاده ¹ (مسئول مکاتبات)
اکبر کمیجانی ² (ندارد)

Received: 2011-04-06 Accepted : 2011-10-18 Published : 2011-06-22

Keywords: Agricultural imports, Total Factor Productivity, ARDL, R &amp, D, Weather,

Abstract :

According to development economists in the modern theory of economic growth, total factor productivity is affected by domestic research and development costs .It also depends on the accumulation of foreign R & D and the volume of imports. According to the results of this research, total factor productivity in agriculture of Iran's is dependent on domestic and foreign R & D expenditures and the volume of imports from Partners. For this purpose, a model of agricultural total factor productivity to Iran with the help of ARDL econometrics approach and the time series between 1980 - 2010 was estimated.  The results showed that effect of domestic research expenditures on agricultural productivity is less than of foreign investment in research and development. In this study, intermediate inputs and goods imports have a positive and significant impact on agricultural TFP in the long-term. Climatic conditions as a symbol of rain, has a positive effect on agricultural total factor productivity. Based on this model, it is suggested that a significant proportion of GDP allocated to domestic agricultural research.  Furthermore, it is essential that agricultural imports from countries with a high volume of research and development to be done to enhance the size of productivity in this sector.