| Literature DB >> 35953744 |
Nusrat Yaqoob1, Vipin Jain2, Zeeshan Atiq1, Paritosh Sharma3, Carlos Samuel Ramos-Meza4, Malik Shahzad Shabbir5, Mosab I Tabash6.
Abstract
The agriculture sector is a key driver of economic growth and provides employment opportunities across the globe generally. However, in today's world, agricultural product demand is more influenced by taste, prices, and nutritional value due to climatic variation. The study has analyzed the current situation grain productivity by using the data of farm inputs and major grain crops of Pakistan from (1960-2020). The study consists of a two-stage analysis in the first stage, the total factor productivity (TFP) variable is obtained by using the parametric Tornqvisit-Theil index output-input-aggregation method separately for each crop; rice, maize, and wheat. After that, the unit root test is used to check the stationarity and trend of the variables in the long run. Subsequently, the autoregressive distributed lag (ARDL) model is applied to check the existence of cointegration in the long run and short run among the variables. The results of the study disclosed that the consumption of rice has a positive relationship with its total factor productivity, but, wheat and maize have a negative long-run cointegration relationship with the respective productivities. The study results have shown that the consumption pattern of staple crops has substantially changed, due to climatic variation, and the current food consumption trend is revealing new dimensions and trends owing to variation in climate change and anthropogenic pressure which demands to adapt climate resilient farm practices.Entities:
Keywords: ARDL; Agriculture sector; Economic growth; Green revolution; Tornqvisit-Theil index; Total factor productivity
Year: 2022 PMID: 35953744 PMCID: PMC9371376 DOI: 10.1007/s11356-022-22150-5
Source DB: PubMed Journal: Environ Sci Pollut Res Int ISSN: 0944-1344 Impact factor: 5.190
Unit root test
| Variables | Level | 1st order | Decision |
|---|---|---|---|
| TFPW | −8.38 | −7.64 | I(0) |
| TFPR | 13.79 | −5.83 | I(0) |
| TFPM | −8.71 | −7.98 | I(0) |
| CONSW | −2.31 | −7.19 | I(I) |
| CONSR | −3.16 | −7.27 | I(I) |
| CNSM | 0.24 | −4.48 | I(I) |
| IC | −2.47 | −9.82 | I( I) |
| IT | −2.90 | −8.30 | I(0) |
| LNTR | −4.56 | −5.77 | I(0) |
| ISC | 0.30 | −6.19 | I(I) |
| FERT | −2.96 | −3.81 | I(I) |
| EDU | 1.82 | −5.86 | I(I) |
| ELECT | −3.39 | −8.36 | I(0) |
| LF | −1.36 | −7.03 | I(I) |
ARDL bound test results
| Obtained results | Critical value bounds | |||||
|---|---|---|---|---|---|---|
| Test statistic | Value | k | Significance | I0 bound | I1 bound | |
| Wheat | F-statistic | 8.260269 | 9 | 10% | 1.8 | 2.9 |
| Rice | F-statistic | 11.42074 | 9 | 5% | 2.1 | 3.3 |
| Maize | F-statistic | 6.348917 | 9 | 2.50% | 2.3 | 3.6 |
| 1% | 2.6 | 3.9 | ||||
Total factor productivity of grain crops long-run cointegration
| Rice | Wheat | Maize | ||||
|---|---|---|---|---|---|---|
| Variable | Coefficient | Prob. | Coefficient | Prob. | Coefficient | Prob. |
| CONS | 0.00 (0.00) | 0.093* | −0.00 (0.00) | 0.019* | −0.00 (0.00) | 0*** |
| EDU | 0.84 (0.05) | 0*** | 0.20 (0.08) | 0.02* | 0.02 (0.12) | 0.89 |
| ELECT | −0.05 (0.01) | 0*** | 0.01 (0.01) | 0.5 | 0.00 (0.02) | 0.93 |
| FERT | 0.00 (0.00) | 0*** | 0.00 (0.00) | 0.008** | 0.00 (0.00) | 0.08* |
| IC | 0.04 (0.01) | 0.01* | −0.10 (0.02) | 0*** | −0.10 (0.03) | 0.08* |
| LF | −0.03 (0.01) | 0.04* | 0.11 (0.02) | 0*** | 0.22 (0.03) | 0*** |
| LNTRACT | 0.13 (0.06) | 0.06* | −0.15 (0.07) | 0.03* | −0.50 (0.15) | 0*** |
| TW | −0.35 (0.05) | 0*** | 0.12 (0.05) | 0.03*** | 0.19 (0.09) | 0.03* |
| IMPSD | 0.00 (0.00) | 0.01* | −0.00 (0.00) | 0*** | 0.00 (0.00) | 0.04* |
| C | 0.45 (0.48) | 0.36 | 1.07 (0.55) | 0.06 | 2.49 (1.01) | 0.02 |
| Cointeq(-1) | −0.9 (0.156) | 0*** | −0.8 (0.18) | 0*** | −0.9 (0.13) | 0*** |
probability values are significant at 1*** %(0.01 highly significant), 5** %(0.05 moderately significant), and 10* %(0.1 less significant). TFP is calculated by the author, for each crop by using self-collected survey data to construct a TFP index for each food crop. Data sources other than to, include the economic survey of Pakistan, FAO, World Bank, and ministry of food and agriculture Pakistan. The value in parenthesis are for standard deviation
Vector error correction model
| Variable | Wheat | Rice | Maize |
|---|---|---|---|
| D(TFPW,R,M(-1)) | 0.39 (3.40) 0.002** | 0.77 (8.61) 0.000*** | _ |
| D(CONS(W,R,M) | 0.00 (0.905) 0.12 | 0.00 (0.44) 0.67 | 9e-05(7.049)6e-01 |
| D(CONS(W,R,M(-1)) | 0.00 (4.25) 0.00** | 6e-04(4e+00)2e-04 | |
| D(EDU) | 0.20 (0.090) 1.75 | 0.29 (1.79) 0.08* | 2e-02(1e-01)9e-01 |
| D(EDU(-1)) | −0.27 (−2.46) 0.019* | ||
| D(ELECT) | −0.01 (0.51) 0.616 | 2e-03(9e-02)9e-01 | |
| D(ELECT(-1)) | −0.07 (−2.58) 0.015 | ||
| D(FERT) | 0.00 (−2.20) 0.035* | 0.00 (0.12) 0.19 | 7e-04(2e+00)6e-02 |
| D(FERT(-1)) | 0.00 (7.23) 0.000*** | ||
| D(IC) | −0.06 (−1.68) 0.103 | −0.10 (1.42) 0.17 | |
| D(IC(-1)) | 0.11 (5.25) 0.000*** | ||
| D(ISC) | −0.00 (−4.36) 0.00*** | 0.01 (4.94) 0.00 | -2e-03(-2e+00)7e-02 |
| D(ISC(-1)) | 0.01 (0.24) 0.000*** | 0.00 (2.86) 0.01** | |
| D(LF) | 0.07 (2.22) 0.033* | −0.22 (−4.97) 0.000*** | 2e-01(8e+00)0e+000 |
| D(LNTR) | −0.26 (−2.16) 0.038* | 0.05 (2.18) 0.04 | 4e-01(1e+00)2e-01 |
| D(LNTR(-1)) | 1e+00(3e+00)3e-03 | ||
| D(TW) | −0.02 (−0.25) 0.805 | 0.25 (1.6122) 0.12 | 2e-01(2e+00)5e-02 |
| D(TW(-1)) | 0.00 (0.03) 0.98 | ||
| D(TW(-2)) | 0.70 (6.85) 0.00*** |
t values are in parenthesis. Significance level is at 10% ( 0.1)*, 5% ( 0.5)**, 1% ( 0.01)***
VAR lag order selection model
| Wheat | ||||||
|---|---|---|---|---|---|---|
| Lag | LogL | LR | FPE | AIC | SC | HQ |
| 0 | −1234 | NA | 9.35e+10 | 45.12597 | 45.38145 | 45.22477 |
| 1 | −881 | 603.2755* | 1500856.* | 34.07214 | 36.11597* | 34.86250* |
| 2 | −842 | 56.40178 | 2368819. | 34.44391 | 38.27609 | 35.92585 |
| 3 | −807 | 42.42369 | 4906692. | 34.94016 | 40.56070 | 37.11367 |
| 4 | −763 | 41.57658 | 9674153. | 35.12288 | 42.53177 | 37.98796 |
| 5 | −684 | 54.43321 | 8675074. | 34.03980* | 43.23703 | 37.59644 |
| Rice | ||||||
| 0 | −1239 | NA | 1.82e+08 | 44.56278 | 44.88829 | 44.68898 |
| 1 | −781 | 751.6767 | 272.8117 | 31.11484 | 34.36987* | 32.37681* |
| 2 | −723 | 77.15122 | 760.2331 | 31.92253 | 38.10709 | 34.32027 |
| 3 | −639 | 83.38336 | 1318.206 | 31.83741 | 40.95149 | 35.37092 |
| 4 | −453 | 126.4209* | 139.2441* | 28.07653* | 40.12014 | 32.74582 |
| Maize | ||||||
| 0 | −1056 | NA | 8708088. | 38.68275 | 38.97472 | 38.79566 |
| 1 | −632 | 709.6189 | 18.25169 | 25.58352 | 28.21130* | 26.59971* |
| 2 | −587 | 61.80447 | 42.45864 | 26.28436 | 31.24795 | 28.20382 |
| 3 | −527 | 65.76909 | 72.98266 | 26.41933 | 33.71873 | 29.24207 |
| 4 | −417 | 87.32649* | 35.32380 | 24.77722 | 34.41242 | 28.50323 |
| 5 | −279 | 70.64127 | 16.95773* | 22.05869* | 34.02969 | 26.68797 |
The goodness of fit (model summary)
| Test statistics | Wheat | Rice | Maize |
|---|---|---|---|
| R-squared | 0.949846 | 0.994484 | 0.902305 |
| Adjusted R-squared | 0.885064 | 0.962076 | 0.841964 |
| S.E. of regression | 0.125272 | 0.183617 | 0.192082 |
| Sum squared residual | 0.376636 | 0.269722 | 1.254444 |
| Log-likelihood | 60.59062 | 69.93945 | 26.9019 |
| F-statistic | 14.66213 | 30.6869 | 14.95347 |
| Prob(F-statistic) | 0 | 0.000014 | 0 |
| Mean dependent var | −0.11246 | −0.20818 | −0.13403 |
| S.D. dependent var | 0.36951 | 0.942885 | 0.48318 |
| Akaike info criterion | −1.02109 | −0.78355 | −0.17507 |
| Schwarz criterion | 0.13625 | 0.952464 | 0.620606 |
| Hannan-Quinn criter. | −0.57239 | −0.1105 | 0.133413 |
| Durbin-Watson stat | 2.265605 | 2.838882 | 2.441887 |