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Impact of Credit Disbursement, Area under Cultivation, Fertilizer Consumption and Water Availability on Rice Production in Pakistan (1988-2010)

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  • Hussain, Anwar Hussain

Abstract

This study estimates the impact of major agriculture inputs (credit disbursement, area under cultivation, fertilizer consumption and water availability) on total rice production in Pakistan using a time series ranging from 1988 to 2010. The study uses a log-linear Cobb-Douglas production function to estimate the impact and importance of these inputs. It finds that area under cultivation and water availability had a positive and statistically significant impact on rice production and the other two inputs had a positive but statistically insignificant impact. Estimation reveals that a 1% increase in area under rice cultivation brought a 1.64% increase in total rice production and a 1% increased in water availability increased total rice production by 0.87%. The insignificance of credit disbursement and fertilizer consumption indicates the presence of inefficiencies which begs for some policy attention.

Suggested Citation

  • Hussain, Anwar Hussain, 2012. "Impact of Credit Disbursement, Area under Cultivation, Fertilizer Consumption and Water Availability on Rice Production in Pakistan (1988-2010)," MPRA Paper 41963, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:41963
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    Cited by:

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    2. Patwary, Md. Sazzad Hossain & Islam, Md. Shahidul & Mosharrafa, Rana Al, 2023. "Effect of bank credit on agricultural gross domestic product," Agricultural and Resource Economics: International Scientific E-Journal, Agricultural and Resource Economics: International Scientific E-Journal, vol. 9(1), March.
    3. Xincai Gao & Lin Ji & Abbas Ali Chandio & Amber Gul & Martinson Ankrah Twumasi & Fayyaz Ahmad, 2022. "Towards Sustainable Agriculture in China: Assessing the Robust Role of Green Public Investment," Sustainability, MDPI, vol. 14(6), pages 1-18, March.
    4. Abbas Ali Chandio & Yuansheng Jiang & Abdul Rauf & Fayyaz Ahmad & Waqas Amin & Khurram Shehzad, 2020. "Assessment of Formal Credit and Climate Change Impact on Agricultural Production in Pakistan: A Time Series ARDL Modeling Approach," Sustainability, MDPI, vol. 12(13), pages 1-21, June.
    5. Aftab Ali Kubar & Qing Huang & Kashif Ali Kubar & Muhammad Amjad Khan & Muhammad Sajjad & Sumaira Gul & Chen Yang & Qingqing Wang & Genmao Guo & Ghulam Mustafa Kubar & Muhammad Ibrahim Kubar & Niaz Ah, 2022. "Ammonium and Phosphate Recovery from Biogas Slurry: Multivariate Statistical Analysis Approach," Sustainability, MDPI, vol. 14(9), pages 1-20, May.
    6. Abbas Ali Chandio & Fayyaz Ahmad & Ghulam Raza Sargani & Asad Amin & Martinson Ankrah Twumasi, 2022. "Analyzing the effective role of formal credit and technological development for rice cultivation," Asia-Pacific Journal of Regional Science, Springer, vol. 6(2), pages 683-711, June.
    7. Kassouri, Yacouba & Kacou, Kacou Yves Thierry, 2022. "Does the structure of credit markets affect agricultural development in West African countries?," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 588-601.

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    More about this item

    Keywords

    Credit disbursement; cultivated area; rice production; Cobb-Douglas;
    All these keywords.

    JEL classification:

    • A1 - General Economics and Teaching - - General Economics

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