Farm subsidies and global agricultural productivity

The agriculture sector receives substantial fiscal subsidies in various forms, including through programs that are linked to production and others that are decoupled. As the sector has reached the technology frontier in production over the last three decades or so, particularly in high- and middle-i...

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Autor principal: Mamun, Abdullah
Formato: Artículo preliminar
Lenguaje:Inglés
Publicado: International Food Policy Research Institute 2024
Materias:
Acceso en línea:https://hdl.handle.net/10568/140668
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author Mamun, Abdullah
author_browse Mamun, Abdullah
author_facet Mamun, Abdullah
author_sort Mamun, Abdullah
collection Repository of Agricultural Research Outputs (CGSpace)
description The agriculture sector receives substantial fiscal subsidies in various forms, including through programs that are linked to production and others that are decoupled. As the sector has reached the technology frontier in production over the last three decades or so, particularly in high- and middle-income countries, it is intriguing to investigate the impact of subsidies on productivity at aggregate level. This study examines the impact of subsidies on productivity growth in agriculture globally using a long time series on the nominal rate of assistance for 42 countries that covers over 80 percent of agricultural production. The econometric results show heterogenous effects from various subsidy instruments depending on the choice of productivity measure. Regression results suggest a strong positive effect of input subsidies on both output growth and labor productivity. A positive but relatively small impact of output subsidies is found on output growth only. Subsidies that are mostly decoupled reveal no significant impact on any of the productivity measures.
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spelling CGSpace1406682025-11-06T07:18:27Z Farm subsidies and global agricultural productivity Mamun, Abdullah agricultural productivity agricultural technology econometrics globalization input output analysis subsidies The agriculture sector receives substantial fiscal subsidies in various forms, including through programs that are linked to production and others that are decoupled. As the sector has reached the technology frontier in production over the last three decades or so, particularly in high- and middle-income countries, it is intriguing to investigate the impact of subsidies on productivity at aggregate level. This study examines the impact of subsidies on productivity growth in agriculture globally using a long time series on the nominal rate of assistance for 42 countries that covers over 80 percent of agricultural production. The econometric results show heterogenous effects from various subsidy instruments depending on the choice of productivity measure. Regression results suggest a strong positive effect of input subsidies on both output growth and labor productivity. A positive but relatively small impact of output subsidies is found on output growth only. Subsidies that are mostly decoupled reveal no significant impact on any of the productivity measures. 2024-03-28 2024-03-28T17:39:37Z 2024-03-28T17:39:37Z Working Paper https://hdl.handle.net/10568/140668 en https://doi.org/10.1111/agec.12823 https://hdl.handle.net/10568/140661 Open Access application/pdf International Food Policy Research Institute Mamun, Abdullah. 2024. Farm subsidies and global agricultural productivity. IFPRI Discussion Paper 2245. Washington, DC: International Food Policy Research Institute. https://hdl.handle.net/10568/140668
spellingShingle agricultural productivity
agricultural technology
econometrics
globalization
input output analysis
subsidies
Mamun, Abdullah
Farm subsidies and global agricultural productivity
title Farm subsidies and global agricultural productivity
title_full Farm subsidies and global agricultural productivity
title_fullStr Farm subsidies and global agricultural productivity
title_full_unstemmed Farm subsidies and global agricultural productivity
title_short Farm subsidies and global agricultural productivity
title_sort farm subsidies and global agricultural productivity
topic agricultural productivity
agricultural technology
econometrics
globalization
input output analysis
subsidies
url https://hdl.handle.net/10568/140668
work_keys_str_mv AT mamunabdullah farmsubsidiesandglobalagriculturalproductivity