ESTIMATION OF AGRICULTURAL AND NATIONAL INVESTMENT FUNCTIONS

Abstract: The aim of the study is to estimate the agricultural and national investment functions and to test the significance of the increasing rates in the agricultural and national investments at the current and fixed prices as well as to increase the accuracy of estimating the parameters of these statistical functions to reach at a standard model to determine the most important economic variables affecting agricultural and national investments.
The study mainly relied on the method of correlation and regression analysis and the most common distributed decomposition model, the Koyck model, with economic application to show its importance in analyzing agricultural investment functions, using some criteria for measuring the efficiency of agricultural investments and finally using the successive series Of the estimated statistical parameters and then estimate the specific functions of the most important factors affecting the national investment, The research was based on data published for the period (2002-2016).
The study showed that the agricultural investment costs in the same year and the total fixed capital formation with a period of one year delay accounted for about 82% of the total changes in fixed agricultural capital formation using the Koyck model during the period (2002-2016). Increasing investment costs by LE 1,000 will lead to an increase in gross fixed agricultural capital formation by LE 0.054 billion in the near-term and LE 0.185 billion over the long run. There is a statistically significant effect on both the interest rate and the national product as well as the ratio of employment to national investments. These factors together accounted for about 96% of the total changes in the national investments.
The study recommends encouraging both agricultural and national investments by reducing the interest rate considering accurate estimation of parameters of the statistical models of the agricultural and national investment to avoid the incorrect estimates of these functions to achieve the minimum error rate of the estimated statistical parameters
Publication year 2018
Organization Name
serial title المجلة المصرية للاقتصاد الزراعي، الجمعية المصرية للاقتصاد الزراعي،
Author(s) from ARC
Publication Type Journal
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