The Effect of Monetary Policy on Value-added of the Agricultural Sector and Its Subsectors in The Iranian Economy

Document Type : Research Paper

Authors

1 Department of Economics, Payame Noor University, Tehran, Iran

2 Department of Economics, Damghan University, Damghan, Iran

3 Master, Economics and Social Statistics, Shahid Beheshti University, Tehran, Iran

4 PhD student, Economics Sciences, Tabriz University, Tabriz, Iran

Abstract

Introduction:The aim of this research is to investigate the effect of monetary policy on the value added of the agricultural sector and its subsectors (crop, livestock, fisheries and forestry).

Materials and Methods: To investigate the research of the variables; Liquidity, value added, and investment as annual data from 1991-2019, and the GMM econometric method was used.

Findings: The results of the research show that liquidity in the entire agricultural sector has increased the value added by 3.06 units, While liquidity in the crop, livestock, fisheries and forestry sub-sectors has increased by 0.017, 2.76, 2.18 and 1.05 units, respectively

Conclusion: According to the research results, monetary policies are effective in the efficiency of the agricultural sector, and based on the obtained results, it is suggested to direct the available liquidity towards investment in the productive sub-sectors of agriculture.

Keywords

References

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Wagan Z, Zhang C, Hakimzadi S. Shah M. Assessing the effect of monetary policy on agricultural growth and food prices. Agricultural Economics. 2018 26;64(11):499-507. https://doi.org/10.17221/295/2017-AGRICECON

Agricultural Economics Research
Volume 15, Issue 2
July 2023
Pages 103-87

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History

  • Receive Date: 17 March 2022
  • Revise Date: 20 August 2023
  • Accept Date: 21 August 2023

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