THE IMPACT OF AGRICULTURAL SUPPORT POLICIES ON AGRICULTURAL PRODUCTION IN TÜRKİYE

Authors : Muhittin Ekiz, Ozan Çağrı Demiray

Pages : 1135-1148

Doi:10.35379/cusosbil.1647356

View : 154 | Download : 343

Publication Date : 2025-10-24

Article Type : Research Paper

Abstract :In this study, we investigate the impacts of agricultural support on agricultural production in the Turkish economy. We use annual data from 1994 to 2023. In this context, we examine the effects of agricultural subsidies, agricultural credits, agricultural employment and fixed capital formation in the agricultural sector on agricultural production. We apply ARDL approach, which consists of the estimation of ARDL model, error correction model and ARDL bounds tests for cointegration. According to our results, agricultural employment does not have any significant impact, and fixed capital formation and agricultural credits have significant positive impacts on agricultural production. Agricultural subsidies exhibit a relatively lower effect on agricultural production, implying that credits are more efficient than subsidies. The results also indicate that the production imbalances caused by short-term shocks in the agricultural sector quickly recover within a year. Our findings imply that agricultural support policies should be organized with a comprehensive approach that prioritizes credit access and reevaluates the allocation of subsidies. The effectiveness and efficiency of the implemented policies should be carefully monitored by policymakers. Therefore, a balanced and strategic agricultural support approach is essential for promoting a sustainable and productive agricultural sector.
Keywords : Tarımsal Teşvikler, Tarımsal Üretim, Türkiye Ekonomisi, ARDL

ORIGINAL ARTICLE URL