1887

n Agrekon - Establishing the linkages between the South African agricultural trade balance and macroeconomic indicators

Volume 53, Issue 4
  • ISSN : 0303-1853
  • E-ISSN: 2078-0400
This article is unavailable for purchase outside of Africa

 

Abstract

This paper investigates the long-run and short-run linkages between macroeconomic fundamentals, agricultural variables and the South African agricultural trade balance, using co-integration analysis and a vector error-correction model with yearly data from 1980 to 2011. The literature review shows that these linkages have not been empirically established for South Africa, despite the relative importance thereof in the policy process. The findings reveal that in the long run, the exchange rate, agricultural price, agricultural production and disposable income all have a significant impact on trade balance. The joint short-run dynamic impact of the lagged trade balance, lagged agricultural production, lagged exchange rate, domestic price and agricultural production explains the changes in the South African agricultural trade balance.

Loading full text...

Full text loading...

Loading

Article metrics loading...

/content/agrekon/53/4/EJC166973
2014-01-01
2019-11-19

This is a required field
Please enter a valid email address
Approval was a Success
Invalid data
An Error Occurred
Approval was partially successful, following selected items could not be processed due to error