The Impact of Agricultural Productivity on Economic Growth and Urbanization: The Example of BRICS-T Countries

Year 2024, Volume: 10 Issue: 1, 1 - 12, 30.06.2024

Fatma Fehime Aydın Özlem Eştürk Cemalettin Levent

https://doi.org/10.61513/tead.1373430

Abstract

Agriculture is the basis of economic growth and development. The main factor that eliminates poverty and increases welfare in developing and underdeveloped countries is the development of the agricultural sector and the spread of this development to other sectors. Therefore, the main objective of this study is to investigate the effect of agricultural productivity on economic growth and urbanization in BRICS-T countries by using a panel data analysis method based on the data set for the period 1992-2022. According to the panel causality (Dumitrescu & Hurlin) test applied in the study, there is no causality relationship between agricultural productivity and economic growth or urbanization. According to the results of the Least Squares method, agricultural productivity has a statistically significant positive effect on both economic growth and urbanization. This finding obtained in this study is in line with the expectations. As a matter of fact, the agricultural sector develops as a result of agricultural productivity, the agricultural sector is replaced by the industrial and service sectors over time as it develops, the population spreads from rural areas to urban areas and economic growth is realized.

Keywords

Agricultural productivity, Urbanization, Growth, Panel data analysis

Tarımsal Verimliliğin Ekonomik Büyüme ve Kentleşme Üzerindeki Etkisi: BRICS-T Ülkeleri Örneği

Abstract

Tarım ekonomik büyümenin ve kalkınmanın temelini oluşturmaktadır. Gelişmekte olan ülkelerde ve geri kalmış ülkelerde yoksulluğu ortadan kaldıran ve refahı artıran temel unsur tarım sektöründeki gelişme ve bu gelişmenin diğer sektörlere sıçramasıdır. Dolayısıyla bu çalışmanın temel amacı; tarımsal verimliliğin ekonomik büyüme ve kentleşme üzerindeki etkisini BRICS-T ülkelerinde 1992-2022 dönemine ait veri setinden hareketle panel veri analiz yöntemiyle araştırmaktır. Çalışmada uygulanan panel nedensellik (Dumitrescu & Hurlin) testine göre; tarımsal verimlilik ile ekonomik büyüme veya kentleşme arasında herhangi bir nedensellik ilişkisi olmadığı görülmektedir. Çalışmada uygulanan En Küçük Kareler yöntemi analiz bulgularına göre, tarımsal verimliliğin hem ekonomik büyüme hem de kentleşme üzerinde istatistiki olarak anlamlı pozitif yönde bir etkisinin olduğu görülmektedir. Bu çalışmada elde edilen bu bulgu beklentilere uygundur. Nitekim tarımsal verimlilik sonucu tarım sektörü gelişmekte, tarım sektörü geliştikçe zamanla yerini sanayi ve hizmet sektörüne bırakmakta, nüfus kırsal kesimden kentlere doğru yayılmakta ve ekonomik büyüme gerçekleşmektedir.

Keywords

Tarımsal verimlilik, Kentleşme, Büyüme, Panel veri analizi

References

• Annez, P.C. & Buckley, R.M. (2009). Urbanization and Growth: Setting the Context. Urbanization and Growth, 1, 1-45, https://siteresources.worldbank.org/extpremnet/resources/489960-1338997241035/growth_commission_vol1_urbanization_growth.pdf/ Erişim Tarihi: 08.08.2023.
• Bayraktutan, Y. & Alancıoğlu, E. (2019). Kentleşme-Büyüme İlişkisi: BRICS-T için Bir Analiz. Elektronik Sosyal Bilimler Dergisi, 18 (72), 1824-1831. https://dergipark.org.tr/tr/pub/esosder/issue/47063/561654
• Bayramoğlu, Z. (2010). Tarımsal Verimlilik ve Önemi, Selçuk Tarım ve Gıda Bilimleri Dergisi, 24(3), 52-61. http://sjafs.selcuk.edu.tr/sjafs/article/view/158/75
• Behun, M., Gavurova, B., Tkacova, A. & Kotaskova, A. (2018). The Impact of the Manufacturing Industry on the Economic Cycle of European Union Countries. Journal of Competitiveness, 10(1), 23-39. https://doi.org/10.7441/joc.2018.01.02
• Breusch, T. S., & Pagan, A. R. (1980). The Lagrange Multiplier Test and its Applications to Model Specifications in Econometrics. Review of Economic Studies, 47(1), 239. https://doi.org/10.2307/2297111
• Dumitrescu, E.-I., & Hurlin, C. (2012). Testing for Granger Non-Causality in Heterogeneous Panels. Economic Modelling, 29(4), 1450–1460. https://doi.org/10.1016/j.econmod.2012.02.014
• Eddine Chebbi, H. (2010). Agriculture and Economic Growth in Tunisia. China Agricultural Economic Review, 2(1), 63-78. https://doi.org/10.1108/17561371011017504
• Ege, H. (2011). Tarım Sektörünün Ekonomideki Yeri ve Önemi, Tarımsal Ekonomi ve Politika Geliştirme Enstitüsü Tepgebakış, 7, 1-4.
• Firebaugh, G. (1979). Structural Determinants of Urbanization in Asia and Latin America, 1950–1970. American Sociological Review, 44(2), 199–215. https://doi.org/10.2307/2094505
• Gardner, B.L. (2005). Causes of Rural Economic Development. Agricultural Economics, 32(S1), 21-41. https://doi.org/10.1111/j.0169-5150.2004.00012.x
• Gollin, G., Parente, S. & Rogerson, R. (2002). The Role of Agriculture in Development. American Economic Review, 92(2), 160–164. https://doi.org/10.1016/j.jmoneco.2006.04.002
• Günaydın, G. (2006). Türkiye Tarım Sektörü. Tarım ve Mühendislik, 76-77, 12-27. Harris, J.R., & Todaro, M.P. (1970). Migration, Unemployment and Development: A Two-Sector Analysis. American Economic Review, 60(1), 126–142.
• Izuchukwu, O.O. (2011). Analysis of the Contribution of Agricultural Sector on the Nigerian Economic Development. World Review of Business Research, 1(1), 191-200.
• İmrohoroğlu, A., İmrohoroğlu, S. & Üngör, M. (2014). Agricultural Productivity and Growth in Turkey. Macroeconomic Dynamics, 18(5), 998-1017. https://doi.org/10.1017/S1365100512000727
• İnan İ.H. (2006). Tarım Ekonomisi ve İşletmeciliği. İstanbul: İdeal Kültür Yayıncılık.
• Jatuporn, C., Chien, L.H., Sukprasert, P. & Thaipakdee, S. (2011). Does A Long-Run Relationship Exist Between Agriculture and Economic Growth in Thailand. International Journal of Economics and Finance, 3(3), 227-233. www.ccsenet.org/ijef
• Johnston, B.F. & Mellor, J.W. (1961). The Role of Agriculture in Economic Development. The American Economic Review, 51(4), 566–593. https://www.jstor.org/stable/1812786
• Kamerschen, D.R. (1969). Further Analysis of Overurbanization. Economic Development and Cultural Change, 17(2), 235–253. https://doi.org/10.1086/450351
• Katircioglu, S.T. (2006). Causality Between Agriculture and Economic Growth in a Small Nation under Political Isolation: A Case from North Cyprus. International Journal of Social Economics, 33(4), 331–343. https://doi.org/10.1108/03068290610651643
• Kaya, O., Kaya, I. & Gunter, L. (2012). Development Aid to Agriculture and Economic Growth. Review of Development Economics, 16(2), 230-242, https://doi.org/10.1111/j.1467-9361.2012.00658.x
• Kopuk, E. & Meçik, O. (2020). Türkiye’de İmalat Sanayi ve Tarım Sektörlerinin Ekonomik Büyüme Üzerine Etkisi: 1998-2020 Dönemi Analizi. Yönetim ve Ekonomi: Celal Bayar Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 27(2), 263-274. https://doi.org/10.18657/yonveek.693387
• Köseoğlu, M. & Ünal, H. (2019). Türkiye’nin Sürdürülebilir Ekonomik Büyümesinde Tarım, Kentleşme ve Yenilenebilir Enerjinin Etkisi: ARDL Sınır Testi Yaklaşımı. Hitit Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, 12(2), 400-415. https://doi.org/10.17218/Hititsosbil.590338
• Lewis, W.A. (1954). Economic Development with Unlimited Supplies of Labour. The Manchester School, 22(2), 139–191. https://doi.org/10.1111/J.1467-9957.1954.Tb00021.X
• Li, X., Florax, R. & Waldorf, B.S. (2014). Agricultural Productivity, Openness and Urbanization: A Smooth Coefficient Regression Analysis. Paper Presented in The 2014 Annual Meeting of the Agricultural and Applied Economics Association, Minneapolis. Http://Rri.Wvu.Edu/Wp-Content/Uploads/2013/07/Fullpaper_2.C.3.Pdf
• Matsuyama, K. (1992). Agricultural Productivity, Comparative Advantage and Economic Growth. Journal of Economic Theory, 58(2), 317–334. https://doi.org/10.1016/0022-0531(92)90057-O
• Mayawala, D. (2008). Analysis of the Impact of Agricultural Sector on Economic Growth, Thesis for Master of Science in Agricultural and Resource Economics, University of Delaware.
• Motamed, M.J., Florax, R.J.G.M. & Masters, W.A. (2014). Agriculture, Transportation and the Timing of Urbanization: Global Analysis at the Grid Cell Level. Journal of Economic Growth, 19(3), 339–368. https://doi.org/10.1007/S10887-014-9104-X
• Olajide, O.T., Akinlabi, B.H. & Tijani, A.A. (2012). Agriculture Resource and Economic Growth in Nigeria. European Scientific Journal, 8(22), 103-115.
• Ozkan, B. & Ceylan, R.F. (2013). Agricultural Value Added and Economic Growth in the European Union Accession Process. New Medit: Mediterranean Journal of Economics, Agriculture and Environment, 12(4), 62-71.
• Pandey, S.M. (1977). Nature and Determinants of Urbanization in a Developing Economy: The Case of India. Economic Development and Cultural Change, 25(2), 265–278. https://doi.org/10.1086/450946
• Pesaran, M. H. (2004). ‘General Diagnostic Tests for Cross Section Dependence in Panels’. Cambridge Working Papers in Economics, Article 0435. https://ideas.repec.org//p/cam/camdae/0435.html
• Pesaran, M. H. (2007). A Simple Panel Unit Root Test in the Presence of Cross-Section Dependence. Journal of Applied Econometrics, 22(2), 265–312. https://doi.org/10.1002/jae.951
• Pesaran, M. H., Ullah, A., & Yamagata, T. (2008). A Bias-Adjusted LM Test of Error Cross-Section Independence. The Econometrics Journal, 11(1), 105–127
• Pesaran, MH., Yamagata, T. (2008). Testing Slope Homogeneity in Large Panels. J. Econometrics, 142, 50–93.
• Sağlam, S. (2006). Türkiye'de İç Göç Olgusu ve Kentleşme. Hacettepe Üniversitesi Türkiyat Araştırmaları (HÜTAD), (5), 33-44. https://dergipark.org.tr/tr/pub/turkiyat/issue/16667/330762
• Sarker, S., Khan, A. & Mannan, M.M. (2016). Urban Population and Economic Growth: South Asia Perspective. European Journal of Government and Economics, 5(1), 64-75. https://doi.org/10.17979/ejge.2016.5.1.4316
• Sertoglu, K., Ugural, S., & Bekun, F.V. (2017). The Contribution of Agricultural Sector on Economic Growth of Nigeria. International Journal of Economics and Financial Issues, 7(1), 547-552. https://dergipark.org.tr/en/pub/ijefi/issue/32002/353237?
• Singariya, M. & Sinha, N. (2015). Relationships Among Per Capita GDP, Agriculture and Manufacturing Sectors in India. Journal of Finance and Economics, 3(2), 36-43. https://doi.org/10.12691/jfe-3-2-2
• The World Bank, (2023). Agriculture, forestry, and fishing, value added, https://databank.worldbank.org/reports.aspx?source=2&series=NV.AGR.TOTL.ZS&country
• The World Bank, (2023). GDP Per Capita Growth, https://databank.worldbank.org/Reports.Aspx?Source=2&Series=NY.GDP.PCAP.KD.ZG&Country
• The World Bank, (2023). Urban Population Growth, https://databank.worldbank.org/Reports.Aspx?Source=2&Series=SP.URB.GROW&Country
• Tolley, G.S. & Kripalani, G.K. (1974). Stages of Development and Urbanization. In A. A. Brown, J.A. Licori, & E. Neuberger (Eds.), Urban and Social Economics in Market and Planned Economies. New York: Praeger.
• Tripathi S. & Rani, C. (2018). The Impact of Agricultural Activities on Urbanization: Evidence and Implications for India, International Journal of Urban Sciences, Volume 22, 123-144. https://doi.org/10.1080/12265934.2017.1361858
• Uddin, M.M.M. (2015). Causal Relationship Between Agriculture, Industry and Services Sector for GDP Growth in Bangladesh: An Econometric Investigation. Journal of Poverty, Investment Development, 8, 124-129. https://core.ac.uk/download/pdf/234695164.pdf
• Usman, M. (2016). Contribution of Agriculture Sector in The GDP Growth Rate of Pakistan. Journal of Global Economics, 4(2), 1-3. https://doi.org/10.4172/2375-4389.1000184
• Yalçın, E.G. & Kara, Ö.F. (2016). Kırsal Göç ve Tarımsal Üretime Etkileri. Harran Tarım ve Gıda Bilimleri Dergisi, 20(2), 154-158. https://doi.org/10.29050/harranziraat.259106
• Yetiz, F. & Özden, C. (2017). Analysis of Causal Relationship Among GDP, Agricultural, Industrial and Services Sector Growth in Turkey. Ömer Halisdemir Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 10(3), 75-84. https://doi.org/10.25287/ohuiibf.305729