Study of Agricultural Trade Openness Impact on Export and Import Shares of Agriculture and Services in Iran

مجله اقتصاد و توسعه کشاورزی

Article 1, Volume 25, Issue 4, January 2012   

Document Type: Research Article

DOI: 10.22067/jead2.v0i0.12178

Authors

S. Gholipour^{* 1}; R. Mohammadzadeh²; M. Bakhshoodeh³; Y. Azarinfar⁴; M. Rafati⁵

¹Researcher in Institute of Trade Studies and Research

²Former MSc Student Department of Agriculture Economic, Faculty of Agriculture, Shiraz University

³Professor, Department of Agriculture Economic, Faculty of Agriculture, Shiraz University

⁴MS in ARDPERI

⁵Faculty Member of ARDPERI

Abstract

Abstract
The objective of this study is to investigate the long run and short run interactions between agricultural trade liberalization and shares of the two sectors of agriculture and services in the total export and import products and services of Iran during the years 1961-2008. To figure out interactions, the vector correction model was used. The ratio of the sum of imports and exports to the GDP were considered as an index of trade openness. The Johansen test reveled that there are three long term relations among the variables of this study. Based on the findings, the higher the level of agricultural trade openness goes, the more the import shares of agriculture and service sectors in the long run are. Furthermore, agricultural trade liberalization has caused the exports of both agricultural products and services to decline in the short term.

Keywords

Agricultural trade liberalization; Export; Import; Agriculture; Services; Iran

References