Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach
This study explores the welfare implications of public expenditure at the subnational level. We empirically examine the efficiency of different categories of public expenditure on agriculture and irrigation using the novel cross-sectional autoregressive distributed lag (CS-ARDL) model and the data f...
| Main Authors: | , |
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| Format: | Artículo preliminar |
| Language: | Inglés |
| Published: |
International Food Policy Research Institute
2023
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| Subjects: | |
| Online Access: | https://hdl.handle.net/10568/140343 |
| _version_ | 1855539230084694016 |
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| author | Akber, Nusrat Kumar, Anjani |
| author_browse | Akber, Nusrat Kumar, Anjani |
| author_facet | Akber, Nusrat Kumar, Anjani |
| author_sort | Akber, Nusrat |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | This study explores the welfare implications of public expenditure at the subnational level. We empirically examine the efficiency of different categories of public expenditure on agriculture and irrigation using the novel cross-sectional autoregressive distributed lag (CS-ARDL) model and the data from 1981 to 2019 for 17 major agricultural states of India. The findings reveal the strong long-term positive effect in rural India of public sector expenditure on crop husbandry, agricultural research and education, soil and water conservation, irrigation, food storage and warehousing, animal husbandry and dairy development, and fisheries on total factor productivity (TFP), farm income, and poverty alleviation. Irrigation and electricity subsidies do not significantly affect outcome variables, while fertilizer subsidies showed a long-term negative impact on TFP, and credit subsidies had a positive effect on income and on the reduction of rural poverty. Other factors that were shown to have welfare implications included rainfall, literacy rate, and agricultural terms of trade (TOT), that is, the ratio of agriculture GDP to non-agriculture GDP. Policymakers should thus better target and rationalize government expenditure programs by removing unproductive input subsidies and reallocating those funds toward other types of public investment in Indian agriculture. |
| format | Artículo preliminar |
| id | CGSpace140343 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2023 |
| publishDateRange | 2023 |
| publishDateSort | 2023 |
| publisher | International Food Policy Research Institute |
| publisherStr | International Food Policy Research Institute |
| record_format | dspace |
| spelling | CGSpace1403432025-12-02T21:02:41Z Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach Akber, Nusrat Kumar, Anjani models education food storage dairies resource conservation welfare cultivation agriculture animal husbandry irrigation subsidies fisheries public expenditure This study explores the welfare implications of public expenditure at the subnational level. We empirically examine the efficiency of different categories of public expenditure on agriculture and irrigation using the novel cross-sectional autoregressive distributed lag (CS-ARDL) model and the data from 1981 to 2019 for 17 major agricultural states of India. The findings reveal the strong long-term positive effect in rural India of public sector expenditure on crop husbandry, agricultural research and education, soil and water conservation, irrigation, food storage and warehousing, animal husbandry and dairy development, and fisheries on total factor productivity (TFP), farm income, and poverty alleviation. Irrigation and electricity subsidies do not significantly affect outcome variables, while fertilizer subsidies showed a long-term negative impact on TFP, and credit subsidies had a positive effect on income and on the reduction of rural poverty. Other factors that were shown to have welfare implications included rainfall, literacy rate, and agricultural terms of trade (TOT), that is, the ratio of agriculture GDP to non-agriculture GDP. Policymakers should thus better target and rationalize government expenditure programs by removing unproductive input subsidies and reallocating those funds toward other types of public investment in Indian agriculture. 2023-12-19 2024-03-14T12:09:22Z 2024-03-14T12:09:22Z Working Paper https://hdl.handle.net/10568/140343 en https://hdl.handle.net/10568/148219 https://doi.org/10.2499/p15738coll2.133332 https://doi.org/10.2499/p15738coll2.133586 https://doi.org/10.2499/p15738coll2.133854 https://hdl.handle.net/10568/160215 Open Access application/pdf International Food Policy Research Institute Akbar, Nusrat; and Kumar, Anjani. 2023. Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach. IFPRI Discussion Paper 2216. New Delhi, India: International Food Policy Research Institute (IFPRI). https://doi.org/10.2499/p15738coll2.137035. |
| spellingShingle | models education food storage dairies resource conservation welfare cultivation agriculture animal husbandry irrigation subsidies fisheries public expenditure Akber, Nusrat Kumar, Anjani Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title | Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title_full | Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title_fullStr | Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title_full_unstemmed | Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title_short | Welfare implications of public expenditure in Indian agriculture: New evidence from CS-ARDL Approach |
| title_sort | welfare implications of public expenditure in indian agriculture new evidence from cs ardl approach |
| topic | models education food storage dairies resource conservation welfare cultivation agriculture animal husbandry irrigation subsidies fisheries public expenditure |
| url | https://hdl.handle.net/10568/140343 |
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