IDEAS home Printed from https://ideas.repec.org/a/ags/ijamad/292777.html
   My bibliography  Save this article

Effect of Temporary and Permanent Shocks of Total Factor Productivity on the Demand for Agricultural Imports in Iran

Author

Listed:
  • Tavakoli, Zahra
  • Nabieyan, Sedigheh
  • Mehrjerdi, Mohammad Reza Zare
  • Jalaei, Abdolmajid

Abstract

Economic theories show that the direction and magnitude of the fluctuations of economic variables depend on the type and magnitude of the shocks they are faced with. Various reasons are noted for fluctuations in demands for imports, including productivity shocks. Accordingly, this research was aimed at identifying the effects of Total Factor Productivity (TFP) shocks of the agricultural sector on the demand for agricultural imports during the period 1982- 2014. These shocks were divided by the Blanchard-Quah technique into two groups: permanent and temporary. Then, the effects of shocks on agricultural imports were studied by the Structural Vector Auto Regression (SVAR) Method. The results showed that , in the short and longrun, temporary and permanent TFP shocks of the agricultural sector have had a significant effect on the demand for agricultural imports, and the effect of temporary shocks was stronger than the effect of permanent ones. Therefore, if the policymakers seek to reduce the demand for agricultural imports, the agricultural TFP must continuously be incremented.

Suggested Citation

  • Tavakoli, Zahra & Nabieyan, Sedigheh & Mehrjerdi, Mohammad Reza Zare & Jalaei, Abdolmajid, 2018. "Effect of Temporary and Permanent Shocks of Total Factor Productivity on the Demand for Agricultural Imports in Iran," International Journal of Agricultural Management and Development (IJAMAD), Iranian Association of Agricultural Economics, vol. 9(2), June.
    • Handle: RePEc:ags:ijamad:292777
    DOI: 10.22004/ag.econ.292777
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/292777/files/IJAMAD_Volume%209_Issue%202_Pages%20135-147.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.292777?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ijamad:292777. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/iraesea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.